AB Bank Limited, the first private sector bank under Joint Venture with Dubai Bank Limited, UAE incorporated in Bangladesh on 31st December 1981 and started its operation with effect from April 12, 1982. VISION STATEMENT To be the trendsetter for innovative banking with excellence & perfection MISSION STATEMENT To be the best performing bank in the country Internal sources Owner’s savings: The owner of a business normally has to use their own particular funds to start a business. This is for the reason that banks may not be enthusiastic to take a risk and finance in them. Thus, they use their personal savings to start a new business. Capital from profits: Once an organization has started operating it may be able to invest the money that it makes as profit back in the business. This means that even better profits may be made in the forthcoming. Working capital: This is a method of source the day to day money needed to pay the bills for the company to continue trading. Working capital is the current assets of the business minus its current liabilities. Sales of fixed assets: Fixed resourcesenable theirpossessorto carry on its procedures by selling their assets which is not needed in the company anymore to start a new venture. External sources Banks: An institution approved by a government to accept deposits, pay interest, make loans, clear checks, act as an intercessor in financial transactions, and deliver other financial services to its consumers. Building societies: A supportive whose participants their capitals in order to offer commercial and loaning services, such as mortgages. It is similar to a bank or credit union. Hire purchase: A method of obtaining something by giving an amount regularly at the end of each month. Leasing: A legal deed outlining the standings under which one party agrees to lease possessions from another party. Both the lessee and the lessor must maintain the terms of the contract for the lease to stay effective. Venture capitalists: An investor who makes money obtainable for inventive plans. Factoring: A supporting way in which an industry owner trades accounts receivable at a discount to a third-party funding source to increase money. Share Issues: The total of a business’s shares that are held by stockholders. A company can, at any period, issue new stocks up to the full amount of sanction share capital. Friends or family: When a company is in need of financial resources they might lend it from a friend or from a family member to solve the financial needs. Government grants: A public support offered to a recipient for organizationor personal purposes. The subsidy is not expected to be paid back. The grant offering typically includes terms and conditions that must be met, such as recording performance or results. Internal sources Owner savings Advantages: Acquisition costs are slight. Won’t be paying interest. Owner savings Disadvantages: You could lose it all. Loss of personal assets. Capital from profits Advantage: Such as money increase profit increases. No interest is payable. Disadvantage: Opportunity cost. Have to stand all the losses if the business be unsuccessful. Working capital Advantage: Easy to calculate as less amount of capital used. Can find the liquidity periods of the business. Disadvantage: Under the best conditions reduced working capital may lead to financial pressure on the company. Will affect the goodwill due to not paid on time. Sales of fixed asset Advantage: Fixed asset. Disadvantage: Profit becomes less. External sources: Bank Advantage: Provide high safety. Disadvantage: Interest rate is high. Limited time to pay. Building societies Advantage: Low level of interest. Loan get fast relatively than bank. Disadvantage: Not so safe compare to bank. Interest have to be paid. Hire purchase Advantage: Use present equipment instantly. Payment are paid certain period of time. Disadvantage: Be unsuccessful to pay the payment due to ownership will be terminate. Leasing Advantage: Expenditure of current equipment immediately. Payments are spread over a period of time which is good for budgeting. Disadvantages:
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Payment is expensive.
The asset be appropriate to the finance company.

Venture capitalists: Advantage:

Owner of a shares.
Small volume of investment to get profit.


High possibility as a first-hand investor.
Have to tolerate all the losses.

Factoring Advantages:

Buying the other business’s credit.


To pay the entire profit to the other factoring company.

Share issue Advantage:

Increase of the business.
Huge quantity of capital join together.


Company’s decision receiving in public.
Have to pay dividend.

Friends and family Advantage:

Lower rate of interest.
Without interest and no mortgages.


Cut off relationship.

Government grants Advantages:

Don’t have to be repaid.

Disadvantages: From top to bottom rules and regulation. Government contribution in business. AB Bank Limited: Internal sources Capital from profit: AB Bank Limited uses their capital to increase their profit and gather more profit for their workers. Working capital: AB Bank Limited tangled up in demand payment from assets, then their working capital finance solutions can help to release all important funds to help keep their business moving. Sales of fixed asset: AB Bank Limited sales their unwanted machineries where it take a huge space and maintenance in order to get latest technology machines for the betterment of their establishment. Bank: AB Bank Limited’s is a commercial association and a commercial arbitrator that accepts deposits and channels those deposits into offering activities, either in a straight line by loaning or meanderingly through capital markets. A bank associates together clients that have capital insufficiencies and clients with capital overages. Leasing: AB Bank Limited’s runs equipment let services and focuses in small to mid-size businesses. Hire purchase: AB Bank Limited have a legal term for an agreement, in which a customer decides to pay for things in amounts or a proportion over a number of months. Share issues: AB Bank Limited have their share holder where they established funds to increase and also pay alienated conferring to the shares holders. Government Grants: Government grants are non-repayable moneys distributed by one party often a government unit, conglomerate, or a nonprofit entity, scholastic institute, corporate or a singular. References AB Bank Limited. 1982.ab bank bd. [ONLINE] Available at:https://abbl.com/index.html. [Accessed 27 February 14]. AB Bank Limited. 1982.ab bank mission and vision. [ONLINE] Available at:https://abbl.com/vision-mission.html. [Accessed 27 February 14]. Book: Catherine Richards (2010), BTEC National Business Level 3, UK

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AB Bank Limited. (2017, Jun 26).
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