Managing Financial Resources Essay

Submitted By ionel83
Words: 444
Pages: 2

Managing financial resources and decision
1,1-identify the source of finance available to a business
A brunch of economies concern with resource allocation as well as resources management, acquisition and investment. Finance deal with matters related to money and the markets.
Finance means to supply with money or capital;obtain money or credit for.
There are three main sources available for a bisiness:
1)business angels
2)venture capital
3)business growth divided in:
-internal sources
-external sources
1)Business angels-are wealthy entrepreneurial individuals who provide capital in return for a proportion of the company equity. They take a high personal risk in expectation of owing part of growing successful business.
The owners and managers of the business are willing to develop a personal relationship with a business angels .Business angels want hands on involment in the management of their investment. This relationship can be positive for business. A business angel with the right skills can strengthen a business by offering marketing and sales.(www.tutor2u)
Northwest business angels can help to find an investment opportunities in northwest based companies from a wide range of industry sectors and at every stage of the business life cicle.
Yoyo media was help by Northwest business angels.
Business angel generally provide a small capital up to £100.000,in return for a proportion of the company equity.
Yoyo media is a regional independent television production company, whose primary focus is to specialise in devising and producing popular mainstream drama and factual entertainment formats.
2)Venture capital-is a thery important source of finance for start-up a business. Venture capital is not having access to capital markets, involve a high risk for investor, but it has the potential for above-average can be use venture capital for