1. Your laptop has broken. List all the ways you could obtain the money to buy a new one. (5mins)

2. LESSON TITLE:Sources of Finance CF: Key Skills (L5) you will be able to use your numeracy skills to calculate financial transactions of a business and to interpret financial data. SUCCESS CRITERIA: 1) To list the internal and external sources of finance available to a business. 2) To describe in your own words, the external sources of finance (l-term/s-term) available to a business.

3. Sources of Finance EXTERNAL Working Capital Sale of assets S-TERM Bank Loan Hire Purchase Trade Credit Leasing Debt Factoring Credit Cards SHARE CAPITAL LOAN CAPITAL Mortgage Business Angels Debentures Government Industrial Specialists Profit INTERNAL L-TERM Overdraft

4. Activity 18.1 Complete activity 18.1 on pg. 177 [10mins]

5. Sources of Finance EXTERNAL Profit Working Capital Sale of assets S-TERM Bank Loan Hire Purchase Trade Credit Leasing Debt Factoring Credit Cards SHARE CAPITAL LOAN CAPITAL Mortgage Business Angels Debentures Government Industrial Specialists INTERNAL L-TERM Overdraft

6. Sources of Finance Debt Factoring CUSTOMER 1) Sells product to customer and sends invoice (30-90days credit) 3)Pays debt factoring company 2) Pays invoice in full (minus commission)

7. Sources of Finance Working Capital Sale of assets S-TERM Bank Loan Hire Purchase Trade Credit Leasing Debt Factoring Credit Cards SHARE CAPITAL LOAN CAPITAL Mortgage Business Angels Debentures Government Industrial Specialists INTERNALEXTERNAL Profit Overdraft L-TERM

8. Sources of Finance Debentures - Loan with ‘no voting rights’ - Fixed repayment date - Fixed interest rate

9. Sources of Finance EXTERNAL Profit Working Capital Sale of assets S-TERM Overdraft Bank Loan Hire Purchase Trade Credit Leasing Debt Factoring Credit Cards L-TERM SHARE CAPITAL LOAN CAPITAL Mortgage Business Angels Debentures Government Industrial Specialists INTERNAL

10. Sources of Finance Industrial Specialists- - Such as ‘Venture Capitalists’ - Loans for businesses that find it difficult to raise funds using banks because they are seen as too risky. Business Angels- - Individuals who invest between £10,000 and £100,000. - Often in exchange for a stake in the business.

11. Activity 18.4 Draw and complete the table on pg. 181. [15mins]

12. Case Study Complete case study activity. [15mins]

13. Key Terms S-termProfit (net)Working CapitalShare Capital MortgageDebenturesVenture Capitalists Business Angels Hire PurchaseLeasingTrade CreditDebt Factoring Industrial Specialists

14. LESSON TITLE:Sources of Finance CF: Key Skills (L5) you will be able to use your numeracy skills to calculate financial transactions of a business and to interpret financial data. SUCCESS CRITERIA: 1) To list the internal and external sources of finance available to a business. 2) To describe in your own words, the external sources of finance (l-term/s-term) available to a business.

15. Sources of Finance: Revision Complete ‘Revision Activity’ on pg.183.

16. Sources of Finance: Revision Produce a Revision Aid for the topic of ‘Source of Finance’.