Download or read book Costs and Benefits of Raising Capital Through Different Sources written by Junaid Javaid and published by . This book was released on 2015-08-20 with total page 40 pages. Available in PDF, EPUB and Kindle. Book excerpt: Master's Thesis from the year 2015 in the subject Business economics - Business Management, Corporate Governance, grade: B-, University of Bedfordshire, course: MBA, language: English, abstract: This theory into practice final project is written on the topic of 'Costs & Benefits for Raising Capital through Different Sources'. Major aim of this theory into practice report would be to let know readers about all of form funding sources (that would make possible for the companies in meeting their working capital needs). It has been understood that the method or process of acquiring capital through different sources is termed as Financing Decision. The Corporations are actively recruiting financial managers mainly for the successful execution of financial decision. Generally, there have been various sources of funds that could be utilised by companies for meeting their working capital needs. It has been observed that with the utilisation of funds from different sources not only made possible for the underlying firm to survive through difficult periods but would help it in expanding its operations as well. All of these sources are classified in to five main classes: Internal Financing, Security Financing, Lease Financing, Loan Financing and other sources. Internal financing intends on the approach of reinvesting of company's earning either for meeting working capital needs or for expanding company's operations. Security Financing is all about issuing of company's shares of different kinds. A company could source capital through loan financing which is determined as an agreement that it would repay principal amount it to the lender in a specified time along with monthly interest payments. Lease financing is actually an agreement between two parties under which one party is interested in using other party's asset for a specified period. Venture capital is considered as relatively new source of finance. From an investor point of view, it is most risky investment. In acco

Download or read book Costs Benefits of each Source of Capital written by Junaid Javaid and published by GRIN Verlag. This book was released on 2014-09-24 with total page 41 pages. Available in PDF, EPUB and Kindle. Book excerpt: Seminar paper from the year 2013 in the subject Business economics - Business Management, Corporate Governance, grade: C, University of Bedfordshire, course: MSc Finance & Business Management, language: English, abstract: There are many cases that have been observed where the shareholders’ capital was not adequate enough to support the company’s working capital requirement which matter a lot to the companies’ growth and survival. Majority of time it has been observed and analysed that the companies considering to meet its working capital through the external sources are aware of every aspect of the different financial sources. It is important for the companies to take certain parameter (interest rate, term of usage, impact on company’s financial leverage, conditions of lending agreement, time to get the lending approval and the impact of proposed source on the company’s financial ratios) into consideration while making the financing decisions. The theory of Capital Structure is extensively be used to get insight that how much risky is the company’s approach in using external sources (prominently debt). The Trade-off theory intended that companies must have to balance the costs and the benefits of debts flow within the enterprises. Different sources of capital can be classified in various manners but for the convenience, the all of these sources are classified in to following categories (Security Financing, Internal Financing, Loan Financing, Lease Financing and Other sources). Shanghai General Motors Corporation (SGMC) is regarded as the largest international joint venture undertook in China. This venture was made for the accomplishment of long-term goals established by the both firms’ executive. The capital contributed by General Motors (GM)-China of $350 Million to the SGMC. $350 Million equivalent was contributed by SAIC to the SGMC. For meeting the working capital needs, SGMC required $821 Million Of which about the equivalent of $460 Million contributed through Chinese Banks and the Equivalent of of $361 Million was contributed through the International Banks. It has been understood that Different sources of capital have their positive and weak aspects to the associated companies. Therefore the company should use more than source of capital which thus would be resulted in forming company’s efficient portfolio of financing. In this manner by capitalising on different sources of capital, the company would be able to leverage its risk level. And if the associated company is risk averse then it should go for Security Financing or Loan Financing.

Download or read book For Profit Enterprise in Health Care written by Institute of Medicine and published by National Academies Press. This book was released on 1986-01-01 with total page 580 pages. Available in PDF, EPUB and Kindle. Book excerpt: "[This book is] the most authoritative assessment of the advantages and disadvantages of recent trends toward the commercialization of health care," says Robert Pear of The New York Times. This major study by the Institute of Medicine examines virtually all aspects of for-profit health care in the United States, including the quality and availability of health care, the cost of medical care, access to financial capital, implications for education and research, and the fiduciary role of the physician. In addition to the report, the book contains 15 papers by experts in the field of for-profit health care covering a broad range of topicsâ€"from trends in the growth of major investor-owned hospital companies to the ethical issues in for-profit health care. "The report makes a lasting contribution to the health policy literature." â€"Journal of Health Politics, Policy and Law.

Download or read book Raising Capital written by David E. Vance and published by Springer Science & Business Media. This book was released on 2005-12-05 with total page 390 pages. Available in PDF, EPUB and Kindle. Book excerpt: Most small businesses cite lack of capital is a major constraint on growth. "Raising Capital" focuses on non-bank sources of capital since banks only lend to companies that fit a very narrow profile. The topics covered include: (i) capital sources entrepreneurs can tap when they are too small or unusual for banks, (ii) angel investors and venture capital, (iii) where to look for angels, venture capitalists and other capital sources, (iv) how to pitch your company and close the deal, (v) deal terms and issues that arise when negotiating a deal, (vi) going public through an IPO or little known small public offerings, (viii) asset based lenders, and (ix) other financing vehicles including: bond, commercial paper, PIPEs and securitization. The scope of the book ranges from capital for entrepreneurs who have little more than an idea, to capital for top rated companies.

Download or read book How Venture Capital Works written by Phillip Ryan and published by The Rosen Publishing Group, Inc. This book was released on 2012-07-01 with total page 82 pages. Available in PDF, EPUB and Kindle. Book excerpt: Explanations to the inner workings of one of the least understood, but arguably most important, areas of business finance is offered to readers in this engaging volume: venture capital. Venture capitalists provide necessary investment to seed (or startup) companies, but the startup is only the beginning, there is much more to be explored. These savvy investors help guide young entrepreneurs, who likely have little experience, to turn their businesses into the Googles, Facebooks, and Groupons of the world. This book explains the often-complex methods venture capitalists use to value companies and to get the most return on their investments, or ROI. This book is a must-have for any reader interested in the business world.

Download or read book Raising Capital Cost Of Issuing Securities written by Junaid Javaid and published by GRIN Verlag. This book was released on 2014-09-23 with total page 43 pages. Available in PDF, EPUB and Kindle. Book excerpt: Seminar paper from the year 2013 in the subject Business economics - Investment and Finance, grade: B-, University of Bedfordshire, course: MSc FINANCE & BUSINESS MANAGEMENT, language: English, abstract: The central focus of this research project is to guide the relatively medium sized car dealership company towards making decision on the appropriate security financing option so that it would permit the given company to expand its operation while minimises its cost and maximises its profitability. In general there are three types of security financing (Equity Securities, Debt Securities and Asset-Backed Securities). Security Financing is also considers being a good financing source which involves the issuance of securities either in the stock market or in the capital market. In general, the companies’ financial decision subject to the composition of its Capital Structure. The Capital Structure is made up of two factors: debt & equity. The trade-off theory was originated out of debate over the Modigiliani Miller theorem. The term trade-off theories was been used by different authors to state different group or similar related theories. The static trade-off theory confirms that the firm has perfect capital structure which they gain by trading off cost from the benefits of the use of equity and debt. The dynamic trade-off theory relates to the role of profit, role of retained earnings and path dependence. The concept of agency theory is emphasised more on the approach of concentrating on the nature of relationship existing between the company’s shareholders (Principal) and their managers (Agents). Pecking order theory stressed that the company should first prefer to use internally generated income for the purpose of raising as it would restrict the company to expose itself towards financial leverage. The marketing timing theory state that firm value their equity in the way that when the stock price is perceived to be overvalued then they issue new stock and gain their share back. After the careful analysis of all possible options, it seemed better for the medium sized Car Dealership Company to go for option of debt security instrument known as Debentures for the purpose of pursuing expansion.

Download or read book How to Raise Capital written by Jeffry A. Timmons and published by McGraw Hill Professional. This book was released on 2004-10-21 with total page 255 pages. Available in PDF, EPUB and Kindle. Book excerpt: The entrepreneur's step-bystep guide to venture capital--where to find it, how to secure it, and what to do with it Fewer than 40 percent of entrepreneurs seeking new business funding each year actually get that funding. How to Raise Capitalimproves those odds, providing prospective as well as current business owners with the knowledge they need to prepare an effectiveloan proposal, locate a suitable investor, negotiate and close the deal, and more. The all-star team of entrepreneurial experts behind How to Raise Capital gives readers top-level educational theory with hands-on, real-world knowledge. This thorough examinationof the inner workings of the venture capital industry explores: Resources available to entrepreneurs, from SBA loans to angel investors Proven strategies for identifying and approaching equity sources Characteristics of a "superdeal"--from the investor's perspective

Download or read book Benefits and Costs of Bank Capital written by Jihad Dagher and published by International Monetary Fund. This book was released on 2016-03-03 with total page 38 pages. Available in PDF, EPUB and Kindle. Book excerpt: The appropriate level of bank capital and, more generally, a bank’s capacity to absorb losses, has been at the core of the post-crisis policy debate. This paper contributes to the debate by focusing on how much capital would have been needed to avoid imposing losses on bank creditors or resorting to public recapitalizations of banks in past banking crises. The paper also looks at the welfare costs of tighter capital regulation by reviewing the evidence on its potential impact on bank credit and lending rates. Its findings broadly support the range of loss absorbency suggested by the Financial Stability Board (FSB) and the Basel Committee for systemically important banks.

Download or read book Alternative Capital Raising written by David G. Rose and published by R&R Media. This book was released on 2011-11-02 with total page 194 pages. Available in PDF, EPUB and Kindle. Book excerpt: In direct contrast to the decline of traditional business and project funding sources resulting from the ongoing financial crisis, the alternative capital market has grown from strength to strength. ALTERNATIVE CAPITAL RAISING: Business Funding in the New Capital Markets explains for the first time, in plain English how this new capital market operates and how you can access it. The book is written for business and project leaders seeking to raise 5 million to 5 billion+ across all major currencies. It answers the questions being asked by business leaders worldwide: Who are the investors?; What is alternative capital?; Where is the money?; Why are the processes so different?; When and how should I apply for funding?CHAPTER HIGHLIGHTS:CHAPTER 1: “Where's the Money??”“What is now emerging shows that the global financial crisis - at the time seen as so devastating - was not so much a disaster, but a long overdue purge.” CHAPTER 2: The Impact of Private Wealth“Since 1995 private wealth, generated mostly by entrepreneurs, has had an ever increasing influence on the global resource of investible capital...The most recent report also shows that …their combined wealth grew some 30% from US$30.7 trillion in 2004 to US$42.7 trillion 2011…it would not be so absurd to estimate that 20% (US$8.5 trillion) of it is available – for the right projects.” CHAPTER 3: Some Alternative Capital Structures“…there are now at least 1,000 asset, wealth, hedge and other fund managers offering structured LTV (Loan to Value) and LTC (Loan to Cost) funding programs with up to 100% capital availability on variable debt/equity terms.”CHAPTER 4: The Investor package“Whereas before you would have produced a business plan and presented it to your bank or other funding source…you now need to get everything across on paper and through a conference call that you used to do by sitting across a desk.”CHAPTER 5: The Capital Raising Process“At the outset, it is important to emphasise that none of the processes you will encounter bear any resemblance to traditional bank loans (or asset financing), private equity or venture capital transactions...The funders are capital market professionals…” CHAPTER 6: Fees and Costs of Funding“…every commercial bank, investment bank and institutional lender…requires some form of deposits or fees for commercial loans. It is to ensure that the gatekeepers' and funders' costs are at least partially covered and, crucially, the borrower is committed to the transaction and will act in good faith to conclude it.”CHAPTER 7: 15 Creative Ways to Fail“You send the business plan, executive summary, drawings, permits, JV agreements, contracts, land leases, etc altogether in the first email, thereby overwhelming the recipient and clogging up their inbox. Rest assured…your e-mail will be deleted.”CHAPTER 8: Three Case Studies“Three separate case studies covering different financing structures, global regions, deal values and markets.”CHAPTER 9: Scams, Mills and Joker-Brokers“The list of so called 'joker brokers' is endless…They typically “know a guy who knows guy who knows a guy in a hedge fund”. These are the 'daisy chains'. Avoid them like the plague.”CHAPTER 10: Frequently Asked Questions“1. What is alternative capital? It's not so much the 'capital' that's alternative, but the alternative channels it is now using to find its way to your project…” CHAPTER 11: Private Placement Platforms and Dart Liquidity Pools“The PPP's are working ever more closely with the mysteriously named Dark Liquidity Pools. This is perfect for the alternative capital market where investors can make larger transactions, at lower cost than they might otherwise and keep their business private.”CHAPTER 12: Blue Sky“…the alternative capital era will be built on a truly global market which is already taking shape. There will be no geographic centres, only trusted brands and products.”

Download or read book Estimating the Costs of Financial Regulation written by Mr.Andre Santos and published by International Monetary Fund. This book was released on 2012-09-11 with total page 43 pages. Available in PDF, EPUB and Kindle. Book excerpt: Staff Discussion Notes showcase the latest policy-related analysis and research being developed by individual IMF staff and are published to elicit comment and to further debate. These papers are generally brief and written in nontechnical language, and so are aimed at a broad audience interested in economic policy issues. This Web-only series replaced Staff Position Notes in January 2011.

Download or read book The Handbook of Financing Growth written by Kenneth H. Marks and published by Wiley. This book was released on 2005-05-31 with total page 496 pages. Available in PDF, EPUB and Kindle. Book excerpt: An in-depth look at the strategies, capital structure, and fund raising techniques for emerging growth and middle-market companies. Here is a comprehensive and practical guide to understanding and applying the basics of corporate finance to emerging growth and middle-market companies. Using empirical data and actual company cases to illustrate capital structures and financing approaches, the book provides a detailed discussion of the many funding instruments, from traditional bank loans and asset-based financing to different types of private equity and other creative solutions; the types of funding sources and their expected rates of returns; and typical deal terms.

Download or read book Making Money Matter written by National Research Council and published by National Academies Press. This book was released on 1999-11-30 with total page 368 pages. Available in PDF, EPUB and Kindle. Book excerpt: The United States annually spends over $300 billion on public elementary and secondary education. As the nation enters the 21st century, it faces a major challenge: how best to tie this financial investment to the goal of high levels of achievement for all students. In addition, policymakers want assurance that education dollars are being raised and used in the most efficient and effective possible ways. The book covers such topics as: Legal and legislative efforts to reduce spending and achievement gaps. The shift from "equity" to "adequacy" as a new standard for determining fairness in education spending. The debate and the evidence over the productivity of American schools. Strategies for using school finance in support of broader reforms aimed at raising student achievement. This book contains a comprehensive review of the theory and practice of financing public schools by federal, state, and local governments in the United States. It distills the best available knowledge about the fairness and productivity of expenditures on education and assesses options for changing the finance system.

Download or read book Benefits and Costs of Bank Capital written by Jihad Dagher and published by International Monetary Fund. This book was released on 2016-03-03 with total page 38 pages. Available in PDF, EPUB and Kindle. Book excerpt: The appropriate level of bank capital and, more generally, a bank’s capacity to absorb losses, has been at the core of the post-crisis policy debate. This paper contributes to the debate by focusing on how much capital would have been needed to avoid imposing losses on bank creditors or resorting to public recapitalizations of banks in past banking crises. The paper also looks at the welfare costs of tighter capital regulation by reviewing the evidence on its potential impact on bank credit and lending rates. Its findings broadly support the range of loss absorbency suggested by the Financial Stability Board (FSB) and the Basel Committee for systemically important banks.

Download or read book How to Raise Money for a Small Business written by and published by . This book was released on 1993 with total page 2 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Bank Leverage and Monetary Policy s Risk Taking Channel written by Mr.Giovanni Dell'Ariccia and published by International Monetary Fund. This book was released on 2013-06-06 with total page 41 pages. Available in PDF, EPUB and Kindle. Book excerpt: We present evidence of a risk-taking channel of monetary policy for the U.S. banking system. We use confidential data on the internal ratings of U.S. banks on loans to businesses over the period 1997 to 2011 from the Federal Reserve’s survey of terms of business lending. We find that ex-ante risk taking by banks (as measured by the risk rating of the bank’s loan portfolio) is negatively associated with increases in short-term policy interest rates. This relationship is less pronounced for banks with relatively low capital or during periods when banks’ capital erodes, such as episodes of financial and economic distress. These results contribute to the ongoing debate on the role of monetary policy in financial stability and suggest that monetary policy has a bearing on the riskiness of banks and financial stability more generally.

Download or read book The Measurement of Scientific Technological and Innovation Activities Frascati Manual 2015 Guidelines for Collecting and Reporting Data on Research and Experimental Development written by OECD and published by OECD Publishing. This book was released on 2015-10-08 with total page 402 pages. Available in PDF, EPUB and Kindle. Book excerpt: The internationally recognised methodology for collecting and using R&D statistics, the OECD's Frascati Manual is an essential tool for statisticians and science and innovation policy makers worldwide. It includes definitions of basic concepts, data collection guidelines, and classifications ...

Download or read book Effects of Bank Capital on Lending written by Joseph M. Berrospide and published by DIANE Publishing. This book was released on 2011-04 with total page 50 pages. Available in PDF, EPUB and Kindle. Book excerpt: The effect of bank capital on lending is a critical determinant of the linkage between financial conditions and real activity, and has received especial attention in the recent financial crisis. The authors use panel-regression techniques to study the lending of large bank holding companies (BHCs) and find small effects of capital on lending. They then consider the effect of capital ratios on lending using a variant of Lown and Morgan's VAR model, and again find modest effects of bank capital ratio changes on lending. The authors¿ estimated models are then used to understand recent developments in bank lending and, in particular, to consider the role of TARP-related capital injections in affecting these developments. Illus. A print on demand pub.