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Sources of capital

Long term - usually above 7 years


Share Capital Mortgage loan Retained Profit Venture Capital Debenture Project Finance

Medium term - usually between 2 and 7 years


Term Loans Leasing Hire Purchase

Short term - usually under 2 years


Bank Overdraft Trade Credit Deferred Expenses Factoring

[edit]Capital

market

Long-term funds are bought and sold:


Shares Debentures Long-term loans, often with a mortgage bond as security Reserve funds Euro Bonds Law Firms

[edit]Money

market

Financial institutions can use short-term savings to lend out in the form of short-term loans:

Credit on open account Bank overdraft Short-term loans

Bills of exchange Factoring of debtors

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