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Q&A - What is the difference between long-term, medium-term and short-term finance?

Jim Riley

1st April 2009

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An important consideration when obtaining finance for a business is when and for how long the finance is needed.

A useful distinction can be made between long-term, medium-term and short-term finance. The table below summarises the main examples and uses of each category:

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Jim Riley

Jim co-founded tutor2u alongside his twin brother Geoff! Jim is a well-known Business writer and presenter as well as being one of the UK's leading educational technology entrepreneurs.