Equity financing: refers to a way for financiers to obtain financing by selling corporate equity without passing through financial intermediaries. The familiar financing obtained by selling corporate stocks is only one type of equity financing. For inexperienced entrepreneurs, when choosing equity financing, one thing to pay attention to is the equity transfer ratio. If the equity transfer ratio is too large, the company may lose control of the company; if the equity transfer ratio is not enough, the fund provider may be dissatisfied, leading to financing failure. This issue needs to be considered and balanced. Debt financing: refers to the company raising funds through debt , the capital supplier, as the creditor, enjoys the financing method of recovering principal and interest when due. Private lending should be regarded as a type of debt financing, and it is the most common one among people. Since the Sun Dawu incident, many companies have developed a fear of private lending, fearing that they will be labeled as "illegal fund-raising". Regarding illegal fund-raising, there is a particularly important definition worth noting, which is: raising funds from unspecified social objects, that is, the public. Based on this point, if funds are not raised from unspecified objects in society, that is, the general public, it cannot be called illegal fund-raising, but should be regarded as normal private lending. Another point is that illegal fund-raising is often huge. By grasping these two points, it will not be easy to violate taboos when raising entrepreneurial funds through private lending.
Internal fund raising of enterprises: refers to the borrowing and lending behavior of enterprises to raise funds in the form of bonds, internal stocks, etc. among the internal employees of the unit in order to meet their own operating capital needs. It is more direct, common and rapid for enterprises. A simple method of financing, but you must strictly abide by the relevant regulations of financial regulatory agencies.
Financial lease: an innovative form of financing, also known as financial lease or capital lease, is a lease for the purpose of financing funds. Its general operating procedure is for the lessor to finance and provide the lessee with the necessary equipment. It is a leasing transaction with dual functions of financing and property financing. It mainly involves three parties: the lessor, the lessee and the supplier, and consists of two parties. or consisting of two or more contracts. The lessor enters into a lease contract and rents the purchased equipment to the lessee. During the lease period, the lessee shall pay the rent to the lessor in installments as stipulated in the contract. At the end of the lease period, the lessee may choose to retain the property, renew the lease or return it to the lessor in accordance with the contract. The lessee uses financial leasing to achieve financing purposes by financing properties. For new start-ups that lack funds, the benefits of financial leasing are obvious, the main one being the flexible payment arrangements of financial leasing, such as deferred payment, incremental or declining payments, allowing lessees to customize the payment amount according to their own financial arrangements; All costs are paid in installments as rent during the lease term, reducing one-time fixed asset investment and greatly simplifying financial management and payment procedures. In addition, the lessee can also enjoy the tax benefits brought by the lease.