A gamut of corporate finance solutions can help businesses set up, and increase their scope of operations across many levels. Reputed financial institutions offer corporate finance for various requirements.
It is a good time to attempt a business enterprise in India. Not only is the Government encouraging the MSME sector to grow with many policies and tax breaks, the country’s revered banks and financial institutions are also helping businesses sort out their funding conundrums by providing several avenues for finance.
Every business requires steady funding at key moments in the business cycle, so that they may carry out daily functions and also expand their operations. The needs of businesses are varied; while one may need funding to launch a new company, another might want to open a new factory in another location. Yet another might simply be looking to buy new premises, while another might need working capital for a year.
Fortunately, there is a corporate finance solution for practically every business need. Finance companies in India offer the choicest financial solutions for a range of companies.
Reputed finance companies offer a diverse portfolio of corporate finance products and services aimed at helping businesses grow over time.
How corporate finance helps
Corporate finance is a source of a revenue for a company’s use. At the moment, major finance companies offer the following products in investment and commercial funding, such as:
• SME loans
• Treasury risk solutions
• Structured finance
• Working capital demand loan
• Term loan
• Supply chain financing solutions – Invoice discounting
• Educational institute financing
Is your business liable to get corporate finance?
Financial institutions offer corporate funding to companies with regular revenue flows and a sound plan to upscale operations. The company must show profits year on year and have a good credit history. Apart from the funding options mentioned above, companies are also liable to receive funding via loans against property, loans against shares, bill discounting, etc. Lines of credit are extended after studying the company’s balance sheets, profit and loss statements, bank statements for at least two years and IT returns for three years. The lending institution then prepares a proposal based on the requirement, the type of financial product that will best meet that requirement and the financial feasibility of taking that product. The borrower can accept the proposal if found suitable.
The company must check prevalent interest rates and understand the implications and benefits of the product being recommended.
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