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Is it okay for a business to have an external source of income.
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[QUOTE="Carpon, post: 271596, member: 86701"] I personally think that this is not a nice idea; funding a business using external sources. I say this because, a business is supposed to generate profit. I can only agree to this if we talk about capital and capital sourcing which is a different case and of course any new business is started with funds generated somewhere else. But once a business has been kick started and it is functional, there is no need to fund the business externally. A business is expected to retain it's capital and not only that, generate profit which will be used to improve and expand such business. There are points when you will need to invest funds for the purpose of expanding the business and that is alright. But any business that must be funded externally indicates the incapability of such a set up and it is at risk of going bankrupt. [/QUOTE]
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Is it okay for a business to have an external source of income.
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