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5.2 Sources of capital - Match-up

Match-up definitions and answers with key terms and examples. Press submit to check your answers.

Internal finance
Own savings
External finance
Friends and family
Bank loan
Crowdfunding
Grant
Business angel
Working capital
Expansion finance


Answers
Informal funding from relatives or friends, either gift or loan
Non-repayable money from government or charities for specific projects
Funds for growing the business, e.g., premises, production, or diversification
Funding sourced from within the business, e.g., owner’s savings or retained profits
Funds obtained from outside sources such as loans, investors, or grants
Finance used for everyday operations like stock, wages and bills
Lump-sum borrowed and repaid in instalments with interest over time
Raising small amounts online from many people towards a funding target
Individual investor providing finance, expertise, and often a business share
Personal money invested by owner; quick access, no interest or application
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