 In this section, I will explain the five major financing methods that are commonly used by different companies to meet their financial needs. Sbhe pehli aur aasan tereen source of financing is loans from friends and relatives. So, this particular way of getting finance is the easiest if it is possible. Particularly, if you are initiating or setting up a business, if you want to set up a startup, then you don't have any credit history, you can't maintain a certain amount of finances in banks because whatever savings you have to use to set up a particular business, then if you have less savings and you need more money to set up an entity, then the easiest way is that you usually take money from your friends or relatives or relatives and with the help of that, you can start your own business, or if you are facing any other problem, then you can easily take it from your friends or relatives. The second way is the lease arrangement. What does the lease arrangement mean? If you want to get a regular amount of money in a regular interval of time, then you can give any physical asset to the lease. The owner of that particular asset can take monthly installments or regular installments where the income starts to come, the finance will be available and he can manage the expenses of his business. The third way of financing or the third method of financing is issuing common stock. Common stock means that any corporation can go to public, they issue their stocks by offering initial public, and in that they offer equity, they buy the stocks of the investors, they make shares or ownership part of them, and they take money from them to satisfy or fulfill their financing needs. The fourth method is debt with warrants. Debt with warrants means that if you want to repay any debt you have taken in a short period of time, then you can do debt with warrants. Debt with warrants are basically the call options in which you give the owners right to buy shares, issue your own company's stocks at a fixed price, and basically the warrants are the options, so again there is no obligation on the buyer of warrants to actually buy the shares. You set up a price for it, and against that if they feel appropriate to pay for the warrants, and if you have made warrants for the stipulated time period, then they will pay you money, and with that money, if you have a deadline for debt servicing, then you can manage the finances needs. The last and fifth method of financing is known as factoring receivables. Factoring receivables means that you hire a company and make it responsible that they will take the receivables, and whatever receivables they have, they will invest them, because they are believed to be knowing more about investments as compared to you. So they take the receivables on your behalf, and basically they are specialists in investing receivables, and we call this particular procedure factoring, generally factoring, or we can call them as factoring receivables. So factoring is basically raising the cash by selling a company asset rather than by borrowing or issuing new activity. So this is another alternative, another method of financing that is available to the firms. So the firms basically have their needs, how much money they need for financing. What is their level of growth? Overall, what is the purpose of financing? All these factors are kept in mind, and out of these five methods, it goes on to generate finances for ourselves.