List and discuss the sources of financing in business?

Question: List and discuss the sources of financing in business?

There are various sources of financing for businesses. Firstly, equity financing involves selling ownership shares in the company to investors, providing the business with the capital it needs while giving investors a stake in the company's success. Secondly, debt financing involves borrowing money from lenders, such as banks or bondholders, which the business must repay with interest. Other sources of financing include government grants and loans, crowdfunding, and self-financing through personal savings or assets. The choice of financing depends on various factors such as the size of the business, the industry it operates in, and the business owner's preferences regarding control and risk.

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