Individual Project

Running Head : Individual project

Individual project

Customer Inserts His /her Name

University Name

Introduction

Andy Rexford has started a cottage industry in his garage for catering for the niche market . Soon that market grows and so does his business With this fast pace growth in the business Andy has expanded his business from one stitch machine to six stitch machine in the short period of time . Recently , Andy has developed a business plan which clearly states the good future growth and lots of financing required Andy does not have

much money of his own to invest in the business , so he is looking for the external financing sources . In this report , I will be discussing the different sources of external financing along with their advantages and drawbacks , and then I will be decided which source is the best for the Andy 's business

Sources of financing

There are various sources of financing the business but the most critical aspect is to understand which sources are appropriate for that particular business and how much finances do we needed . The assessment of sources is dependent on how willing he is to share the information about his business and ownership with others . Sources of finances are divided into 2 broad categories

-Internal financing

-External financing

Andy 's savings and income are already been exhausted in the process of growth , and he requires more financing . To help Andy to take the decision wisely I will...