A partnership sourcing for funds to expand its business would approach _______
Answer Details
A partnership looking to raise funds to expand its business would approach a money market.
A money market is a financial market where short-term loans, securities, and other financial instruments are traded. These markets are typically used by businesses and governments to borrow money for short periods, usually less than a year. Money market securities include certificates of deposit, treasury bills, commercial paper, and other short-term securities.
When a partnership seeks to raise funds for its business expansion, it can issue short-term securities such as commercial paper to investors in the money market. These securities are typically low-risk and have low returns, but they are a reliable source of short-term financing. The partnership can also obtain a short-term loan from a money market fund or bank to finance its expansion.
Therefore, approaching a money market would be a viable option for a partnership seeking to raise funds to expand its business.