Financing Solutions Via Alternative Finance & Traditional Funding

The definition of totality of the economical relations formed in the process of formation, distribution and usage of finances, as money sources is widely spread. Like, in “the typical theory of finances” there are two definitions of finances:credit score rating

Finances reflect economical relations, formation of the funds of money sources, in the process of distribution and redistribution of national receipts in line with the distribution and usage” ;.This definition is given relatively to the conditions of Capitalism, when cash-commodity relations gain universal character;

Finances represent the forming of centralized ad decentralized money sources, economical relations relatively with the distribution and usage, which serve for fulfillment of the state functions and obligations and also provision of the conditions of the widened further production” ;.This definition is brought without showing the surroundings of its action. We share partly such explanation of finances and think expedient to make some specification.

First, finances overcome the bounds of distribution and redistribution service of the national income, though it is really a basic foundation of finances. Also, formation and usage of the depreciation fund that will be the section of financial domain, belongs not to the distribution and redistribution of the national income (of newly formed value throughout a year), but to the distribution of already developed value.

This latest first seems to be a part of value of main industrial funds, later it is moved to the fee price of a ready product  that is to the worthiness too and as a result of its realization, and it is set the depression fund. Its source is taken into account beforehand as a depression kind in the consistence of the ready products cost price.

Second, definitive goal of finances is much wider then “fulfillment of the state functions and obligations and provision of conditions for the widened further production” ;.Finances exist on the state level and also on the manufactures and branches’ level too, and such conditions, when the most area of the manufactures are not state.