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← Business Studies notes
Edexcel ·Business Studies·Cambridge IGCSE Business Studies

Business Finance

15 min read

The need for finance, internal and external sources, short- and long-term finance, cash flow and working capital.

Why businesses need finance

Businesses need finance to start up (premises, equipment, stock), to fund day-to-day running (wages, materials) and to expand (new machinery, new outlets). Finance can be needed for the short term (to cover a cash shortage) or the long term (to buy fixed assets).

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