In every venture one decides to follow, it is important to know and understand the root words of such ventures, before we delve deep into the topic of the day, let us first understand their meanings.
What are FINANCE AND FINANCING
Finance is a branch of economics that is a French word that originated in the 18th century which refers to the process of controlling and handling monetary affairs. These affairs include management and trading of assets, investments, marketing, saving, lending, borrowing, etc. Finance shows us how to acquire and use money in our daily life activities.
When there are business opportunities or situations where capital is needed to start up a project, financing comes into play. Financing is defined as the processes involved in generating the funds or capital used to make business transactions.
what are the Types of Finance?
There are three major types of finance, namely;
what ARE THE TYPES OF FINANCing:
The two types of financing are;
Advantages of EQUITY financing
Equity financing has its own advantages; some of them include;
Disadvantages of Equity Financing
Some disadvantages of equity financing are;
Advantages of Debt financing
Advantages of debt financing include;
disadvantages OF DEBT FINANCING
The disadvantages of debt financing include;
what is the Importance of Finance and Financing?
The main aim of finance is the generation and or management of funds. Finance has a lot of roles to play in different aspects of everyone’s life; be it science, business, systems, etc. let us now look into the general importance of finance.
Finance and financing deal with organizing the financial affairs of an individual, organization or governmental body. Numerous factors need to be considered and a lot of options need to be looked into when dealing with finance and financing. Every individual, business owner or government official needs to take time to evaluate such factors. It is also important to consult a financial advisor who will guide you through every financial affair to be dealt with.
What is Finance?
Finance is a branch of economics that is a French word that originated in the 18th century which refers to the process of controlling and handling monetary affairs.
What is Financing?
Financing is defined as the processes involved in generating the funds or capital used to make business transactions.
What are the types of finance?
There are three major types of finance namely:
1. Personal finance
2. Corporate finance
3. Public finance.
What are the types of financing?
There are thwo major types of financing namely:
1. Equity financing
2. Debt financing
What is the importance of finance and financing?
1. Finance is very important when it comes to the establishment of a business.
2. Finance is also important when it comes to the operation of an enterprise.
3. Another importance of finance is its ability to extend the life span of a business.
4. Finance is also important when it comes to fighting competition.
5. Maintenance of business properties or structures requires funding.