Corporate finance is the funding provided to support the operations of the venture itself, as distinct from project finance which is provided for developing and producing individual projects. The main sources of corporate finance are Debt and Equity. |
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Other funding: for example central government grants or other local support funds to encourage investment in a particular sector or location. |
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Each of these sources of funding has a different risk and return profile. The greater the risk carried by the financier, the higher the return that they should receive for committing their funds. Equity investors will seek a greater return than lenders because of the greater risk that they carry. |
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Corporate Finance Options Available |
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The range of financing options will generally depend on the length of time for which the finance is required: |
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- Short Term
- Medium Term
- Long Term
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