Finance - Purpose of Finance

Main Purpose for Seeking Finance
Some of the reasons for business people seeking finance include:

" If you dont have enough capital to start, wait until your cash situation improves ..."

  • Start a new business.
  • Buy a business.
  • Buy a franchise.
  • To buy assets such as plant and equipment.
  • For working capital to grow the business.
  • To raise capital that can be returned to shareholders or the owners.
  • To arrange funds to buy out a partner or a shareholder.


  1. Start a New Business
    Finance to start a new business will be more difficult to arrange than other types of finance. This is because the lender has to take the risk as to whether your business will succeed or not. As far as the lender is concerned you have no track record to rely on, the size of the market is unknown, y...

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