Professional Documents
Culture Documents
Final FM
Final FM
Financial Management
• Ruchi Gandhi (49)
• Faizan Sayed (59)
• Nikhil Solanki (39)
• Shruti Desai (9)
• Rashmi Sahoo (29)
• Nitin Kondi (19)
2
SOURCES OF FINANCE
3
IMPORTANCE OF FINANCE
4
• Angels/Private Equity
Equity Shares
• Ownership of the Company
• BEARER BOND
DEBENTURES
• Whenever a company wants to borrow a large
amount of fund for a long but fixed period, it can
borrow from the general public by issuing loan
certificates called Debentures.
Characteristics of Debenture.
• Debenture holders are the creditors of the
company.
Hindalco No Yes
L&T No Yes
(1)SAVING OF CAPITAL:
Non-recourse Factoring
Maturity Factoring
Advance Factoring
Factoring companies in India
• Canara bank Factors Limited
• SBI Factors and Commercial Services Pvt. Ltd
• Global Trade Finance Limited
• Export Credit Guarantee Corporation of India
Ltd
• Citibank NA, India
• Small Industries Development Bank of India
(SIDBI)
• Standard Chartered Bank
COMMERCIAL PAPER
• An Unsecured Promissory Note Issued by a firm
to raise funds for short period
• Amount raised by Commercial Paper is
generally very large.
• Debt is totally unsecured.
Eligibility Criteria
1. Minimum Tangible Asset
2. Minimum Current Ratio
3. Minimum Credit Rating
4. Listed Requirements
5. Issue Expenses
MERITS
• No Restrictive Conditions
• High Liquidity