The content of investments includes financial resources, a portfolio of securities, property rights and any other property that is invested in certain objects of the business entity. The main goal of any investment process is to generate income from the facility where the property was invested. A person who invests finance or other property is called an investor. Investments are a type of investment, they are usually invested in fixed assets, in addition, it is the cost of modern production, the construction and expansion of an enterprise, its modernization and technical equipment that meets the realities of the modern world.
Sources of investment determine the supply of these activities with useful financial resources. Distinguish between certain types of financing, which are divided by the frequency of financing, duration, investor status and the origin of the funds. External sources of investment- type resources are borrowed and attracted sources of financing for the implementation of investment projects. Internal sources of investment are individual means of implementing investment projects . Individual sources of creating investment resources are financial resources and other property of company owners, attracted to implement the investment portfolio.
Thus, individual investment sources are depreciation charges. Depreciation is the main source of financing for the simple reproduction of fixed assets of enterprises. Their size is determined by the multiplication of depreciation rates that are set on the book value of the groups of fixed assets used in the production process of the enterprise.
Thus, it should be said that the sources of investment are channels of a functioning and expected property of receiving cash, as well as a list of entities of economic importance that can provide this cash. The basis of the project financing strategy is to develop financing plans based on the project’s own characteristics and factors influencing it.
With regard to such a thing as sources of investment in an enterprise, it should be said that any organization, in order for investment activity to begin, solves many problems for itself. These tasks include determining the purpose of investing and developing an investment policy, in addition, determining the investment project and its justification. Sources of investment are subject to unconditional risk, because it is quite difficult to predict at 100% how the expected investment project will be implemented. Therefore, the tasks of the enterprise can be attributed to determining the ratio in the use of own and borrowed investment resources and assessing the effectiveness of future investment policies.
The activity of investment destination in the enterprise, as well as sources of investment, are aimed at justifying and implementing useful forms of investing financial resources aimed at increasing the potential of the economic order of the enterprise. There are two types of sources of investment resources of any enterprise, these are internal and external. Internal sources are traditional investments in any enterprise that have two components. These are depreciation deductions and profit in the pure form of accumulated and undistributed nature. They are set for the period of calculation of the value of this capital.