Skip to content

Spec point: A-Level Edexcel – 2.1 Raising Finance

Every note that covers this specification point.

Finance

Venture Capital

Venture Capital in a Nutshell Venture capital is a form of private equity finance provided to high-potential startups and small businesses by investors or specialist firms. It offers large sums of funding…

Read the note 9 min
Finance

Private Equity

Private Equity in a Nutshell Private equity refers to investment capital provided by firms or funds directly into private companies, or used to take public companies private. It offers businesses large-scale funding…

Read the note 9 min
Finance

Cashflow

Cash Flow in a Nutshell Cash flow is the movement of money into and out of a business over a given period. Positive cash flow means more money is coming in than…

Read the note 10 min
Finance

Business Angel

Business Angel in a Nutshell A business angel is a high-net-worth individual who invests personal funds into early-stage companies in exchange for equity. They typically provide mentoring alongside capital. Key advantages include…

Read the note 10 min
Finance

Bank Loan

Bank Loan in a Nutshell A bank loan is a fixed sum of money borrowed from a bank, repaid over an agreed period with interest. It provides businesses with a lump sum…

Read the note 10 min
Finance

Overdraft

Overdraft in a Nutshell An overdraft is a short-term borrowing facility provided by a bank that allows a business or individual to spend more money than is currently in their account, up…

Read the note 11 min
Finance

Share Capital

Share Capital in a Nutshell Share capital is the money a company raises by selling shares to investors. It forms a key source of long-term finance for limited companies, both private (Ltd)…

Read the note 10 min
Finance

Trade Credit

Trade Credit in a Nutshell Trade credit is a short-term financing arrangement where a supplier allows a buyer to receive goods or services now and pay later, typically within 30 to 90…

Read the note 11 min
Finance

Working Capital

Working Capital in a Nutshell Working capital is the difference between a business’s current assets and its current liabilities. It measures whether a firm has enough short-term resources to cover its day-to-day…

Read the note 10 min
Finance

Sale and Leaseback

Sale and Leaseback in a Nutshell A sale and leaseback is a financial arrangement where a business sells an asset it owns, such as property or equipment, and then immediately leases it…

Read the note 10 min
Finance

External Sources of Finance

External Finance in a Nutshell External finance is money raised from sources outside a business, such as bank loans, share capital, or venture capital. It allows firms to fund growth, purchase assets,…

Read the note 10 min
Finance

Asset Sales

Asset Sales in a Nutshell An asset sale occurs when a business sells individual assets rather than the entire company. This could include property, equipment, vehicles, or intellectual property. Asset sales allow…

Read the note 10 min