1. Entrepreneurship Management
Sources of fund and Capital formation of entrepreneurship

2. Fund raising in general concept
The significance of fund in any job is like adding lubricant to a machine to perform better smoothly and effectively.
Generally fund can be raised from two important sources:
Internal source: owner’s own fund that can be invested into equity.
External source: fixed capital, working capital, commercial, bills, overdrafts, leasing finance etc.

3. Sources of fund for entrepreneurs
Internal sources of fund:
owner’s own investment
Deposit and loans
Personal loans from provident fund, insurance etc.
In case of running enterprise, by retaining the profits
External sources of fund:
Borrowings
Term loans
Leasing facilities
Loan from financial institutions
Credit facilities provided by various financial institutions

4. Capital formation
Capital structure: the combination of equity and debt in overall capital of an enterprise. Capitalization: it is the determination of quantity and quality of finances available for the entrepreneurs. Venture capital: it is a form of equity financing especially designed for funding high-risk, high-technology and high-reward projects. It is equity finance based on the fact that a partnership can be formed between the entrepreneur and the venture capitalist or the investors.

5. Sources of venture capital
Venture capital is a transitory start up financing in the form of equity capital or loans, with return linked to profits and managerial control measures.
There are some sources of venture capital for entrepreneurs:
Programme for advancement of commercial technology
Technology development and investment corporation of India
Risk capital and technology finance corporation
Venture capital scheme of various banks and financial institutions

6. Questions