Raising Business Finance
The owner manager's guide to all aspects of raising business finance.
A 'nuts and bolts' guide for owner managers to what sources of finance are available, how to decide which ones suit your business's requirements and how to negotiate the best deal for you and your business.
ISBN 1-84528-127-6
Contents listed below
Contents
Introduction
A Understanding your business’s finances
1 Why does your business need cash?
Investment and working capital
Who needs the money? Your business’s legal status
Two special cases
2 Understanding your business’s accounts
What are accounts and why are they important?
How are accounts prepared?
What is in each part of the accounts?
What information can you find in the profit and loss account?
3 Assets and liabilities
What does the balance sheet tell you?
Understanding financial stability
Understanding financial efficiency
Return on capital employed
Return on investment
Having faith in numbers
4 How much cash does your business need?
Statement of source and application of funds
Cashflow forecasting
5 Where does the cash come from and what are the issues?
What are the sources of business cash?
How do you go about raising cash?
What are the issues to be aware of?
Debt or equity source?
B The sources of external business finance
6 Debt
What is debt?
Who can your business borrow from?
Keeping yourself safe
What sort of borrowings are available?
Sources of advice
Islamic finance
Key points
7 Borrowing from banks
Managing your bank manager
What can you borrow?
What about security from outside the business?
What is changing in the lending market?
How much can you borrow from different sources?
Business borrowing ability ready reckoner
What to look out for when borrowing
Money laundering
Key points
8 Borrowing on or for fixed assets
Property finance
Commercial mortgage
Bridging
Sale and leaseback
Pension purchase
Plant and machinery finance
Raising cash from plant and machinery
Key points
9 Borrowing for working capital
Factoring and invoice discounting
Funding stock and trading
Key points
10 Grants
The practical issues
What do grants cover?
Assistance with obtaining grants
Key points
11 Equity finance
Shares and dividends
Financial promotions
What issues do you need to consider?
How much is your business worth?
Key points
12 Sources of equity finance
Informal sources
Business angels
Venture capitalists
Public listing
Key points
C Specific financing situations
13 Funding a start-up
You as the business owner
Bootstrapping
External funding
14 Financing an acquisition
Where do you get the money?
What form of external finance is right?
Equity
Grants
Debt
How do you raise cash?
Vendor finance
Financial assistance
15 Funding property development
Specialist property development funding products
Commercial bridging loans and mortgages
Top up funding
Joint ventures with developers for owner occupiers
Self-build development loans for owner occupiers
Raising property development finance
16 Funding a turnaround
Is the company insolvent?
Do you have sufficient cash for the immediate/foreseeable future?
Will your lenders continue to support you?
Managing a cash crisis
Key points
Glossary
Useful contacts
Loan repayment tables
