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Small businesses
Small to medium sized enteprises that have fewer than 250 employees
Micro businesses
Businesses that emply between 0 and 9 employees
Investment Appraisal
The process of analysing whether investment projects are worthwhile to the business, such as financially worthwhile.
Investment Appraisal: Payback
This refers to the time it takes for an investment to repay the initial outlay from the net returns provided by that investment.
Investment Appraisal: Average Rate of Return
Total net returns divided by the expected lifetime of the investment. This is expressed as a percentage of the initial investment.
Investment Appraisal: Net Present Value
(NPV) is the net return on an investment when all revenues and costs have been converted in to their current worth.