Every company requires money to run its business, and sometimes it is impossible to continue business without injection of cash from time to time.
There are different ways to collect money and keep the business running. Sometimes, a loan from banks and other financial institutions, or they can also take funds from investors in the form of share capital. Retained profits are also utilised for this purpose. No matter what way they use for to collect money, it can be done either by funding or financing.
Generally, funding and financing are interchangeably used in the financial world, but there is a difference between these two terms.