Financing is called a life blood of business because finance is prerequisite for mobilization real resources
and marketing activities.
Resources of Finance
There are two types of resources. Such as,
• Real resources (Land, building, machinery)
• Financial resources.
Depending on the nature of activities to be financed, business requires short term, medium term and long
So, on the basis of time horizon, financing requirements of a business is categorized as in:
# Short Term
# Source of Finance Medium Term
# Long Term