Finance and Funding in the Travel and Tourism Sector

FINANCE AND FUNDING IN TRAVEL AND TOURISM
SECTORSources and distribution of funding:
The development of capital projects like tourism information point, cross railway
project, integrated footpath development etc. which are related to the travel and
tourism sector and there is require to analysis of several sources and distribution
fund.
Source of funding: -
Source of funding means need of money by any organisations, so how they
can manage or where to manage funds. Every small or large enterprises required
fund to run it's business or to manage daily expenses. Company have many
options to raise their fund, it includes public and private source of funding.
Public Funding: -
Public funding means, funds available through government source such as
tax charge . These funds used for the welfare of public in the form of goods and
services. Source of public funding is available by central or Local governments
and lottery funding.
 Central government: - Central government have funding programs from
various departments to voluntary organisation with national implication.
 Local Government: - Almost all local authorities allot funding to local
voluntary through preparing budget with relevant conditions and resources.
 Lottery Funding: - National lottery funding is the responsibility of
department of culture, media and sport (DCMS). Which issued all
policies and financial path to UK lottery bodies. Funds will be provided to
tour and travelling business by this lottery source.
Private funding: -
Private funding are the source of those funds which is arranged by the
organisation it self and in the financial market various option is available for the company.
It include debt, equity and government funding.
 Debt funding: - Borrow money for the purpose of running business by selling
company's bills, bonds or notes to an individual or institutional investors. These
investors become creditor for the company and receive a agreement regarding pay
of principle amount with the interest of borrowing amount. Fulham shore Plc can
borrow money byselling of company's bonds and bill.
 Equity funding: - These funds raised by the company through issuing shares to
the general public. After buying company's shares that person become the
shareholder of the company. These shares will be purchase by individual as well
as institutional investors which includes bank, other companies and government.
Tour and travelling company issue their shares for funding requirement.
Government funding: - These funds received by non government organisations and it
includes federal, local or state government allotments. These entities provide loans to the
companies in respect of securities. Provide other financial assistance to the tour and
travelling business.