Lesson Plan

• Describe internal and external sources of finance and differentiate short‑term from long‑term options.
• Explain how size, legal form, amount required, time horizon, existing debt, cost and purpose influence the choice of finance.
• Apply the decision‑making flowchart to evaluate and justify the most appropriate finance source for a given business scenario.

• Projector and screen
• Whiteboard and markers
• Printed handout of finance source table and factor checklist
• Case‑study worksheets
• Calculators (optional)
• Sticky notes for group brainstorming

Begin with a quick poll: “If you wanted to start a small online shop, where would you get the money?” This activates prior knowledge of personal savings and bank loans. Explain that today’s lesson will explore the range of finance sources and the key factors that guide the choice. Students will know the success criteria: they can match a business situation to the most suitable finance option.

1. Do‑now (5’): Students write any finance sources they know on sticky notes and share with the class.
2. Mini‑lecture (10’): Present internal vs external sources and short‑term vs long‑term finance using the projector.
3. Guided analysis (12’): Walk through the factors table; discuss each factor with real‑world examples.
4. Decision‑making activity (15’): In groups, use a case‑study worksheet to apply the flowchart and select the best finance source; teacher circulates for support.
5. Whole‑class debrief (8’): Groups present their choices; class critiques based on cost, control, and suitability.
6. Quick‑fire quiz (5’): Exit‑ticket style questions or a Kahoot to check understanding of key concepts.

Recap that selecting finance requires matching business characteristics and purpose to the most suitable source while weighing cost and control. For the exit ticket, each student writes the best finance option for a brief scenario. Homework: complete a worksheet evaluating finance options for a supplied case study.