Funding a Business

Topics: Finance, Economics, Stock Pages: 3 (928 words) Published: August 17, 2013
In this paper, it talks about what kind of funds to use when dealing with maintaining your business and also choosing which way you would fund by borrowing money, sell stock or license the technology. It also talks about important terms you are going to use when opening up a new business like investment banker, stock market, financial management, and risk financing. After finding out information for each term, I have to identify my decision in funding my business, and explain my pros and cons in my decision. At last, I just do some proofreading and editing to make sure my paper is good for school. The first term I would like to talk about is investment banker. Investment banker purchases securities from corporation which the corporation sells new securities to raise funds. They also arrange immediate resell of these securities to the investors. This is the main task the investment bankers do as there are seem. They are very helpful for the economy especially if you are having a hard time knowing how to open up a business. Investment bankers are great as adviser for financial transactions. Investment bankers are helpful in raising funds in business.(Funding) The second term I would like to talk about is stock market. Stock market is a public market for the trading of company stock or shares. Some companies raises money for their business issuing stock to investors. Why this is beneficial for companies because if their market values of their share is high then they will be able to increase additional capital, if they need it. The stock market term plays a big role in the industry of the country. The government and central banks of the United States keeps an eye on what’s going on in the stock market.(Funding) The third term I would like to talk about is financial management. Financial management is an important function in finances in your business. The roles of financial management is records the profits and losses of operations, have control...
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