Discuss sources of short-term financing

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Let's discuss sources of short-term financing. If capital is the lifeblood of all business enterprise(s) then let's discuss when and why firms might encounter a need to access short-term funding, and how vital are short-term funds to the sustainability of a firm. It may be rather obvious that it takes money to make money and those with money are always seeking various opportunities to make more money, conversely, those in need are always searching for those willing to lend. Depending upon the nature of a company's business cycle, companies will encounter contractions and expansions. Expansions are welcome, but on the one hand, if a company is unprepared to deliver due to insufficient inventory. Short-term financing or access to funding could possibly become an issue. Conversely, contractions can also create short-term funding issues such as payroll, vendor payments, taxes, or unanticipated emergencies. Overall, companies expect to grow which requires access to funds: Read the article finding Clients alternative sources of financing. Discuss alternative ideas to access short-term capital as well as traditional and non-traditional forms for long-term financing.  Also, discuss scenarios when companies might encounter short-term business disruptions.

Reference no: EM131999430

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