How to Understand Business Finance by unknow
Author:unknow
Language: eng
Format: epub
Tags: Business & Economics, General, Careers, Management, Financial, Finance, Corporate Finance, Budgeting, Managerial, Accounting
ISBN: 9780749460204
Publisher: Kogan Page
Published: 2010-05-28T08:15:21+00:00
Stock*
Rarely provides good security unless of a commodity nature. The issue is it must be readily saleable by the bank – it rarely is!
Personal guarantee
This is a promise to pay, if the business doesn’t. You will be required to demonstrate personal wealth to support your pledge, and even provide those assets as security behind your guarantee.
*Commonly given through a Mortgage Debenture
A mortgage debenture is common company security giving a fixed and floating charge over all the assets of the business. It also gives the bank other rights, such as the appointment of an administrator, so careful consideration and professional advice should be taken.
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