When starting a business, capital is almost always needed in order to get the business running. Size of the investment required can vary considerably according to the business plan.
A business that mostly requires time and expertise, needs a lot smaller initial capital investment, than for example a production facility. After the initial investment, revenues start to flow in. When revenues start to get bigger than costs business becomes profitable, and future investments can be covered with business-generated capital.
Sources of capital are reviewed in the following sections:
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