What are the different ways a business can raise capitalv

Bank Loans (long or short term) - however they can incurs high interest rates. Overdraft -(short term solution) but again includes paying interest. Business angles - people that invest in your business with the sole purpose of making a return, they do not make any other contributions bar financial and are paid in equity. Selling shares on the stock exchange - this method is on available to PLC's as LTD's can only sell to friends/family - quick way of generating capital but owners decrease the amount of business they own.

EY
Answered by Emma Y. Business Studies tutor

1652 Views

See similar Business Studies GCSE tutors

Related Business Studies GCSE answers

All answers ▸

What's the difference between fixed and variable costs?


What are the differences between Autocratic, Laissez-Faire and Democratic leadership styles?


What's the difference between SWOT and PEST analysis?


Describe the features of the Launch stage of the product life cycle (2)


We're here to help

contact us iconContact ustelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

MyTutor is part of the IXL family of brands:

© 2025 by IXL Learning