As a large well established business you decided you need to raise some capital. What are the the primary methods you might consider in order to raise the needed capital?

Question

Chaz Reed

Business

16 March, 13:08

As a large well established business you decided you need to raise some capital. What are the the primary methods you might consider in order to raise the needed capital?

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Answers (2)

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Braelyn Hughes · Answer 1

Bond markets

stock markets

Borrowing from banks

Explanation:A Bond market is market where investors buy debt securities which are either sold by Government establishments or large corporations. This is one the primary methods through which corporations generate capital.

Stock market also known as market for shares is a market where parts of a corporation are sold as shares, this can be done through public offerings or sold in the stock exchanges.

Large corporations also consider borrowing from banks as a means to raise capital for investments, this the process of collecting loans with interest from commercial banks.

Peep · Answer 2

Early stage financial capital, borrowing loan and corporate stock and public firm

Explanation:

Early stage financial capital: Firm that are just beginning often have an idea or a prototype for a product or service to sell, but few customers at all, and thus are not earning profit.

Borrowing loan: When a firm has a record of at least earning significant revenue, and better still of earning profits, the firm can make a credible promise to pay interest, and so it becomes possible for the firm to borrow money.

Corporate stock and public firm: A corporation is a business that incorporate that is owned by shareholders that have limited liability for the debts of the company but share in its profits and losses. Corporation may be private or public, and may or may not have stock that is publicly traded.