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stop spending, start saving

Q: How do you solve a liquidity crisis?

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stop spending, start saving

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A company which is facing a liquidity crisis has the option to raise funds through two sources:

i. Internal

ii. External

Required on the above ( 2 ) sources of finance and to highlight the possible problems which can be encountered in the process of obtaining the finance.

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liquidity problem has two aspects

qualitative aspects and quantitave aspects

the proble,m

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Liquidity refers to the availability of cash for the industries & the general public for their day to day financial needs.

Liquidity in this economic crisis situation is very tight and people are finding it difficult to raise cash for their requirements.

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The US Subprime financial crisis, caused a massive void in the country's economy and the liquidity in the markets was affected badly.

Nobody has gained any benefit because of this. Everyone is suffering because of the crisis.

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