Explain internal and external sources of finance, including family and friends, retained profit, share issue, loans or mortgages, selling assets, overdrafts, trade credit, hire purchase and government grants.

In this objective, Explain internal and external sources of finance, including family and friends, retained profit, share issue, loans or mortgages, selling assets, overdrafts, trade credit, hire purchase and government grants sits within Finance sources and suitability and Sources of finance for AQA GCSE Business 8132. Use a business such as CycleNest serves local families while changing supplier; the case evidence includes gross profit margin of ?3,639, sales of 124 units, and a 38% change in costs or demand to keep the explanation applied. The important reasoning is to connect assets, government grant, share issue, trade credit with the business objective, the financial implication, and the effect on suppliers. Avoid treating cash flow and profit as the same thing. A high-quality answer should explain the commercial trade-off, use precise evidence, and finish with a judgement that depends on the context rather than a generic definition.