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Short Term Finance

Keywords

QuestionAnswer
Bank Overdraft Permission from the bank for the business to withdraw more money from its current account than is in the account up to an agreed limit.
Trade Creditors A business buys supplies on credit and pays for them at an agreed later date (e.g. in 30 days).
Expenses due Some expenses, such as the electricity bill, the pone bill, broadband or a tax bill, do not have to be paid immediately and the money can be used in the meantime to finance the business.
Short term financial needs Money the business needs to pay for the everyday bills it would have in its business, e.g. insurance, rent, electricity, wages, stock for resale, wages, etc.
Short term finance Repaid within one year
Created by: bccnsjcbusiness
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