FINANCE
name 2 sof you would use when having cashflow issues
bankloan,share issue
name 2 sof you would use when starting a business
owners capital,business angels
name 2 sof you would use when expanding your business
new partners,retained profits
name two fixed costs
salaries,rent
name two variable costs
materials,stocks
how could you improve your revenue
increase promotion
how could you reduce costs?
use cheaper suppliers and replace workers
what is cash inflow
the cash that enters a business
what is cash outflow
the cash that leaves the business
what is cashflow forcast?
a prediction of what will happen to cashflow for a specific period of time
what is new partners SOF
when additional people are bought into the business
what is share issue SOF
when a business sells off their shares to make money
what is VC and BA SOF
people who give you money for a share of your business
what is trade credit SOF
buy goods so they have stock,and pay later
hire purchse and leasing
renting an asset that a business will need
government grants
a volume of money rewarded by the government
what is family and friends SOF
money from family and friends
what is bank loans and overdraft SOF
a sum of money that is borrowed by a business with a repayment date
what is owners capital
money that the owner has put into the business
what is retained profits
profits that have been amde from previous years
what is selling assets
selling prducts owned by the business eg machienry
what is quantitative data
data that can be measured and written as numbers
what is qualitative data
informaion that can be observed but not measured
example of a quantitative pice of data
fixed costs, cost of sales, ARR
example of qualitative data
environmental or ethical issues,customer satisfaction
how do you work out net cash flow
turnover-total payments
how to work out closing balance
opening balcance + net cash flow