HOW LISTED COMPANIES RAISE CAPITAL @ LEARNINGMORE

 HOW LISTED COMPANIES RAISE CAPITAL?

1 Equity Financing

2 Debt Financing 

3 Hybrid Financing

1 Equity financing : 

Equity financing is raising funds by selling company shares to investors. investors become the shareholders of the company and get profits, dividends 

Equity financing includes IPO, Private Placements, Crowdfunding, Venture capital 

2 Debt Financing :

Debt financing means borrowing money from lenders such as banks or bonds, debt instruments like debentures, and paying interest on the loan until the total amount gets paid 

3 Hybrid Financing :

Hybrid Financing includes both equity and debt financing hybrid financing includes convertible bonds and preference shares. it can be converted into equity with certain conditions and dilute ownership of existing shareholders.

Company raising funds from investors for new projects, business expansions, and operating working capital.

one of the main advantages of a listed company is that anyone can invest in a public company compared to a private company.

the company should maintain collaborative relationships with investors and provide regular updates on the business activities, future planning, and investing structure.

capital raising is essential for running and growing a business