2007-11-15 13:24:54 · 3 answers · asked by Anonymous in Business & Finance ➔ Investing
To raise money to grow a company they can either borrow or issue stock. If they borrow enough they get to keep all the profits but it is hard to borrow enough to grow fast. Some companies like a shipyard take a lot of money before you bring in the first dollar. Get a bunch of investors to each put in their life savings and you might have a start but if you want to add bigger drydocks or open more locations you need more money.
2007-11-15 13:27:41 · answer #1 · answered by shipwreck 7 · 2⤊ 0⤋
Stocks of what?
Inventory Stock?
Stock Market?
Stock Quotes?
Stock Photos?
Penny Stocks?
Blue Chip Stocks?
2007-11-15 13:33:15 · answer #2 · answered by AE N 5 · 0⤊ 2⤋
Another way to finance a company's operation. Instead of having a company owing money to creditors or financial institutions, stocks can be offered to others to come and share fortune in the operation of a company with a return of dividends instead of interest. Naturally, it is more risky to invest in stocks rather than in lending money for a fixed interest.
2007-11-15 13:47:12 · answer #3 · answered by labare 2 · 2⤊ 0⤋