English Deutsch Français Italiano Español Português 繁體中文 Bahasa Indonesia Tiếng Việt ภาษาไทย
All categories

1 answers

The sources of long term capital are:

1)issue shares......Equity +Preference (and is the Law of the land permits, any other kind of shares)

2)issue Debentures of all kinds(exercise wisdom as to what kind(s) would suit the co.

3)issue Bonds (if there's no such restriction)

4)invite long term public Deposits and offer lucrative rate of interest, provided the rate of return is definitely higher than the interest rate offered

5)keep general reserve in tact and also, don't declare dividends for a while

6)borrow from Finance Companies

I suppose these are enough.Management of short as well as long term capital requires a lot of expertise. How much and which source(s) is/are suitable , will be decided after studying all pros and cons.

2007-11-26 00:27:20 · answer #1 · answered by bikashroy9 7 · 0 0

fedest.com, questions and answers