Explanation
Assets are classified into two main categories:
- Current Assets: Cash or assets expected to be converted into cash within a year (e.g., inventory, accounts receivable)
- Non-Current Assets: Long-term investments that cannot be readily converted into cash (e.g., property, machinery)
A strong asset base provides security and borrowing power for business growth.
Practical Example of Assets
A digital agency’s assets may include laptops, office furniture, cash in the bank, and receivables from clients.
How Bizcap Can Help:
Looking to invest in new assets? Bizcap’s secured and unsecured loan options can provide the funding needed to strengthen your business infrastructure.