Debt Financing and Equity Financing

debt financing and equity financing

Introduction to Debt Financing Debt financing is the process of borrowing money from a lender to be repaid at some point in the future. It is also known as a loan. Debt financing is the use of borrowed funds to purchase an asset or pay liabilities. It is a loan that needs to be paid … Read more

Capital Structure and Factors Affecting Capital Structure

capital structure

Introduction to Capital Structure Capital structure refers to the manner in which a company finances its assets using a combination of equity and debt.. It is the combination of various sources of funds that the corporation manages to finance its overall operations and growth. The corporation can use the debt source like long term bank … Read more

What is a Debt? Features and Debt instruments

Features of debts

What is Debt ? Debt is the money borrowed for the business. Debt securities represents the liability for the company i.e. company has the priority obligation to payback the debt amount with interest, which is the return of Investment for the lenders. It has a maturity period and borrower must repay the principal amount with … Read more