Internal finance
Owner investment
Owner investment or capitalThe money and equipment invested into a business. is money that is invested by the owner from their own personal funds.
| Advantages | Disadvantages |
| Does not need to be paid back | Personal savings may be lost if the business is unsuccessful |
| Full control of the business is maintained |
| Advantages | Does not need to be paid back |
|---|---|
| Disadvantages | Personal savings may be lost if the business is unsuccessful |
| Advantages | Full control of the business is maintained |
|---|---|
| Disadvantages |
Retained profit
Retained profit is profit that has been made by the business in previous years that is then reinvested back into the company.
| Advantages | Disadvantages |
| Does not need to be repaid | For profits to build up to use in this way can take too long and good business opportunities missed |
| Advantages | Does not need to be repaid |
|---|---|
| Disadvantages | For profits to build up to use in this way can take too long and good business opportunities missed |
