Any company can raise funds, and there are financing channels.

in a narrow sense, financing is the behavior and process of raising funds for an enterprise, that is to say, according to the company's own production and operation conditions, the status of capital ownership, and the needs of the company's future business development, through scientific prediction and decision-making, a certain way is adopted to raise funds from the company's investors and creditors through certain channels and organize the supply of funds to ensure the company's normal production needs and the financial management activities.

broadly speaking, financing is also called finance, that is, the financing of monetary funds, and the behavior of the parties to raise or lend funds in the financial market in various ways. The New palgrave Dictionary of Economics explains financing as follows: financing refers to the monetary transaction means to pay for purchases exceeding cash, or the monetary means to raise funds for acquiring assets.

Extended information:

1. Common forms

1. Bank loans

Banks are the most important financing channels for enterprises. According to the nature of funds, it is divided into three categories: working capital loans, fixed assets loans and special loans. Special loans usually have specific purposes, and their loan interest rates are generally favorable. Loans are divided into credit loans, secured loans and discounted bills.

2. Stock financing

Stocks are permanent, have no maturity date, do not need to be returned, and have no pressure to repay the principal and interest, so the risk of financing is small. The stock market can promote enterprises to change their management mechanism and truly become a legal entity and market competition subject with independent operation, self-financing, self-development and self-restraint. At the same time, the stock market provides a broad stage for asset reorganization, optimizes the organizational structure of enterprises and improves the integration ability of enterprises.

3. Bond financing

Corporate bonds, also known as corporate bonds, are securities issued by enterprises in accordance with legal procedures and agreed to repay the principal and interest within a certain period of time, indicating that there is a creditor-debtor relationship between the issuing enterprises and investors. Bondholders do not participate in the operation and management of the enterprise, but have the right to recover the agreed principal and interest on schedule. In the bankruptcy liquidation of an enterprise, creditors have priority over shareholders to claim the remaining property of the enterprise. Corporate bonds, like stocks, belong to securities and can be freely transferred.

2. Financing channels

1. Banks

When you need financing, you must first think of banks. Bank loans are known as the "reservoir" for venture financing. Because banks are rich in financial resources and most of them have government background, they have a "mass base".

2. Financing platform

Because it is difficult to obtain financing from banks, the third-party financing platform is a good choice for financiers. For example, the investment and financing community, the largest third-party financing platform in China, provides professional investment and financing information services.

3. Credit card

With the innovation of commercial banking, the settlement method of credit card is becoming more and more electronic. Credit card is not only fashionable, but also feasible for people engaged in business to obtain certain funds through credit card when they are in urgent need of turnover.

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