financing report(1).doc

1 TYNDALE INSTITUTE BTEC HIGHER NATIONAL DIPLOMA IN BUSINESS MANAGEMENT ASSIGNMENT COVER SHEET NAME OF STUDENT REGISTRATION NO. UNIT TITLE/ UNIT UNMBER Unit 2:Mnaging Fnancial Rsources &Dcision ASSIGNMENT TITLE Financing Rport ASSIGNMENT NO1of2 ASSIGNMENT BRIEF ISSUE DATE 28 January 2011 NAME OF ASSESSOR Chris Loh LECTURE STATE AND END DATE 21 February 2011 to18 march 2011 SUBMISSION DEADLINE 4 April 2011 BEFER OR RE-DO DATE 2 E xecutive summary : Finance is important to all kinds anizations .It helps people to set up their business or expanding. Finance is the lifeblood of business. It flows in mostly from scale of goods and services. It flows out for meeting various types of expenditure. The activating element in any business which may beon industrial mercial undertaking is the finance . T his report introduced the financing into two sections. One mainly described the advantages and disadvantages of different sources of financing and how to select the appropriate sources finance available toa business. We think their have two kind of sources of finance, internal sources like pany ’s assets, factoring or invoice discounting, personal savings and profits that have not been reinvested or distributed among shareholders, external sources such as the bank loan, the ownership capital, venture capital and soon. In order to choose the best sources for a business, we should take allof their advantages and disadvantages into consideration, and mainly pay attention onhow much the project needs tobe invested and how long it will takes. The other part turns to analyze the implication of finance asa resource within a business. F irstly assess pare the costs of different of sources of finance. T hen explain the importance of financing planning and finally describe the information needs of different decision makers and the impact of finance on the financial statements. We have given allof them a description in detail. 3 Table of Contents Content Page Number 1. I nt roduct i on ………