Capital Raising
Top 2 Ways Corporations Raise Capital FACEBOOK TWITTER LINKEDIN By CLAIRE BOYTE-WHITE Updated Jan 12, 2021 Running a business requires a great deal of capital. Capital can take different forms, from human and labor capital to economic capital. But when most people hear the term "financial capital," the first thing that comes to mind is usually money. While it can mean different things, it isn't necessarily untrue. Financial capital is represented by assets, securities , and yes, cash. Having access to cash can mean the difference between companies expanding or staying behind and being left in the lurch. But how can companies raise the capital they need to keep them going and to fund their future projects? And what options do they have available? There are two types of capital that a company can use to fund operations: debt and equity . Prudent corporate finance practice involves determining the mix of debt and equity that is most cost-effective. This article e