Principles of Business and Banking

In the historical context of Nepal, the evolution of the banking industry is a relatively recent development. The records of Nepal's banking system provide a detailed account of a mixed economic life during various periods. In the unorganized money market, landlords, shopkeepers, and wealthy merchants served as lenders. In 723 A.D., Gunakam Dev borrowed money to rebuild the Kathmandu Valley, and by the end of the 8th century (780 A.D.), a new era called Nepali Sambat was introduced by Shankadhar, a Sudra merchant of Kantipur, after settling all outstanding debts in the country. In the 14th century, King Jayasthiti Malla of Kantipur introduced "Tanka Dhari," a term marking a significant chapter in the history of banking in Nepal. During the Malla regime in the 11th century, evidence of professional Money Lenders and Indigenous Bankers emerged. The introduction of silver coins in the 12th century marked a new economic epoch, but the absence of regulatory bodies allowed mone...

 Ancient time history document shows that there was some basic operation in practise even in the ancient day During the period of 8th Century Guna Kamdev has borrow money to reconstruct the Kritipur. The Nepal Sambat calendar was established by a trader of Kathmandu named Sankhadhar Sakhwa. The calendar era began on 20 October 879 AD after paying the debt. This means there were the practise of lending money and repaying the loan even in the ancient time Lichhivi Era. The Licchavi Kingdom, a significant period in Nepal’s history, this era marked the advent of the Classical period of Nepal. The Lichhavi coins, the first of their kind to be widely used in the Kathmandu Valley and its surrounding hills, were minted in copper. These coins bore legends in Gupta scripts, indicating a substantial cultural influence from other major kingdoms of the Classical Period. The Lichhavi coins, minted in copper, were the first to be widely used in the Kathmandu Valley and its surrounding hills. Thes...

 A banking is a finance institution which deal with deposit, advance and other related services. it received money from those who want to save it in the form of deposit and it lends money to those who need it. Bank deals with money and its substitution and provide all the financial services. They also generates profit from the fees charged for the service. According to Kent, "Bank is organisation which principal operations are concerned with the accumulation of temporary ideal money of general people for the purpose of advancing to other for expenditure. Banking development; [development of banking] Traditional form of banking traced back during the civilization of Greeks, Rome and Mesopotamia The terms "Bank" Is derived from the Latin word 'Bancus' which refers to the bench on which banker would keep money and record. Some people trace the origin of Italian word 'banks' means the bench. In ancient money lender used to conduct a business on bench. The ear...

 According to Joseph Massie " financial management is operational activities of a business that is responsible for operating an effective utilisation of the font necessary for efficient operation" In general assumption that a financial manager work only in the account department or he/she has to deal with the cash flow. In reality they have a large area to cater. Finance  management is efficient management of fund, planning and organisation the matter related to money and also effect utilisation of economic resources. The basic aim is maximisation of wealth and ensure a fair return to stakeholder while maintaining the financial discipline in the organisation

 Definition One need money to make money. Finance is the life blood of business and there must be continuous flow of fund in and out of a business enterprises. Money makes the wheel of business run smoothly by sound planning, efficient production system, an excellent marketing network are all hamper in the absence of adequate and timely supply of fund. Sound financial management is as important in business firm requires finance to comment its operation, to continue operation and for expansion or growth. Finance is an important operative function of business. A large business form has to raise fund from several sources and has to utilise their fund in alternative investment opportunities fully stop in order to ensure the most judicious Dualization of phone and to provide a reasonable rate of return on the investment, Sound financial policy and programme are required. wise financial can save a business from Bankruptcy just as easily as quality product, better marketing or low product...

Sole trading concern/ Business is owner, manager, controlled and invested by a single person. Hence, it is called sole proprietorship or individual by a single person. Hence, it is also proprietorship or individual proprietorship or single entrepreneur or one-man business. It has been in operation since the birth human civilization. Sole trader make total investments of the business, enjoy form all profit and bears the total risk. He controls the operations applying his own knowledge, skill and ability. He may run the business alone or may obtain the help from family members or employees. The sole trader has to bear unlimited liabilities of the business. Sole trading concern is then oldest from of business. It is most commonly used business organization. It is easy to start and close. It requires small amount of capital. The sole trader plays the role of all i.e. an owner, manager, a controller, a risk bearer and a decision maker. Thus, it is popular form of business organizatio...