SMEs FINANCIAL SMEs FINANCIAL MANAGEMENTMANAGEMENT• Sources of fundsSources of funds

• Application of fundsApplication of funds

Mohammad Thoriq BahriMohammad Thoriq BahriIndonesia DelegationIndonesia Delegation

SOURCES OF FUNDSSOURCES OF FUNDS• Share capitalShare capital - Equity, preference- Equity, preference - New, existing- New, existing - Part, full- Part, full - Rights, bonus- Rights, bonus - Employee stock options- Employee stock options - Investors – long and short term- Investors – long and short term

SOURCES OF FUNDSSOURCES OF FUNDS• DebtDebt - Long term: Loan, bonds,- Long term: Loan, bonds, depositsdeposits - Short term: working capital - Short term: working capital loan (open cash credit, Keyloan (open cash credit, Key cash credit, bill discounting);cash credit, bill discounting); factoring, commercial paperfactoring, commercial paper

SOURCES OF FUNDSSOURCES OF FUNDS• ConvertiblesConvertibles - Debentures- Debentures

• DerivativeDerivative - Futures- Futures - Options- Options - Swaps- Swaps

APPLICATION OF FUNDSAPPLICATION OF FUNDS• Long termLong term - Fixed assets- Fixed assets

Productive and non-productiveProductive and non-productive Movable and immovable Movable and immovable Tangible and intangibleTangible and intangible Indigenous and importedIndigenous and imported

APPLICATION OF FUNDSAPPLICATION OF FUNDS• Short termShort term - Current assets- Current assets

Permanent and temporaryPermanent and temporary Inventory: raw material, work in Inventory: raw material, work in progress, finished goods, packing progress, finished goods, packing

material, stores and spares, material, stores and spares, consumablesconsumables

Receivables Receivables

PROFITABILITYPROFITABILITY• Income: Sales and other incomeIncome: Sales and other income• ExpensesExpenses - Manufacturing- Manufacturing - Administrative- Administrative - Selling- Selling - Distribution- Distribution - Others- Others