Source Of A Fund: Brick and Mortar vs. E-business
The source of a fund for an organization provides the company, auditors, and investors with the ability to track the money from receiving to spending. You can draw a conclusion based on the funding as how long the organization has been financed in such a way (though history), develop future expectations of funding, and develop concerns if the funding is shaky or taken from a fund that is not considered reliable. Any brick and mortar business will likely have a location, stock, and employees. The brick and mortar may have goods or services that slowly decrease in profit. Generally, the overhead for utilities is a stationary price that they pay. The brick and mortar usually has a source of funding outside of the revenue stream and can take a bit longer to generate enough money to become profitable. The e-business on the other hand may not have any of those restrictions. A e-business can be as easy as one person running it and drop shipping its products so there is virtually no overhead (minus the web hosting, domain name, and time to update the website). It can be independently financed and it can be profitable in as little as a month.
Popularity: 37%