UrbanPro
true

Take CA Coaching from the Best Tutors

  • Affordable fees
  • 1-1 or Group class
  • Flexible Timings
  • Verified Tutors

Types of Financing

FR Prashanth Reddy
27/09/2017 0 0

Types of Financing 

Bridge Financing

  •  Bridge finance refers to loans taken by a company normally from commercial banks for a short   period because of pending disbursement of loans sanctioned by financial institutions.
  • The bridge loans are repaid/ adjusted out of the term loans as and when disbursed by the concerned institutions.
  •  Bridge loans are normally secured by hypothecating movable assets, personal guarantees and   demand promissory notes. Generally, the rate of interest on bridge finance is higher as compared   with that on term loans.

Venture Capital Financing 

The venture capital financing refers to financing of new high risky venture promoted by qualified entrepreneurs who lack experience and funds to give shape to their ideas. 

 In broad sense, under venture capital financing venture capitalist make investment to purchase equity or debt securities from inexperienced entrepreneurs who undertake highly risky ventures with a potential of success.

   Some of the characteristics of Venture Capital Funding are:-

(i) It is basically a equity finance in new companies. 

(ii) It can be viewed as a long term investment in growth-oriented small/medium firms. 

(iii) Apart from providing funds, the investor also provides support in form of sales strategy, business networking and management expertise, enabling the growth of the entrepreneur. 

 

0 Dislike
Follow 7

Please Enter a comment

Submit

Other Lessons for You

Do and Dont's
-Learn By Examples, By relating it to real life things. You will retain it for long. -Dont ever wait for your teachers or tutors for starting something new topics. Make your own pace study before enyone...

How To Find Antilogs Value By Calculator
To find antilog value i.e. AL(m):- First type m.(where m= any number like 1, 2, 3 etc.) Then type ÷ button Then type 227695 Then type + button Then type 1 Then type = button Type continious...

Classification According to Performance
Following is the classification of contracts according to their formation: (a) Unilateral Contracts: A unilateral contract is a one-sided contract in which only one party has to perform his obligation....

Introduction To Accounting: Part 14: Accounting Period Concept
A while ago, we studied Financial Statements. The definition of Financial Statements is reproduced here: “Financial Statements” is a summary report that shows how a Business has used the...

Definition of Acceptance
An acceptance is the manifestation by the offeree of his willingness to be bound by the terms of the offer. The term acceptance is defined in Section 2 (b) of the Indian Contract Act, as under: “When...
X

Looking for CA Coaching Classes?

The best tutors for CA Coaching Classes are on UrbanPro

  • Select the best Tutor
  • Book & Attend a Free Demo
  • Pay and start Learning

Take CA Coaching with the Best Tutors

The best Tutors for CA Coaching Classes are on UrbanPro

This website uses cookies

We use cookies to improve user experience. Choose what cookies you allow us to use. You can read more about our Cookie Policy in our Privacy Policy

Accept All
Decline All

UrbanPro.com is India's largest network of most trusted tutors and institutes. Over 55 lakh students rely on UrbanPro.com, to fulfill their learning requirements across 1,000+ categories. Using UrbanPro.com, parents, and students can compare multiple Tutors and Institutes and choose the one that best suits their requirements. More than 7.5 lakh verified Tutors and Institutes are helping millions of students every day and growing their tutoring business on UrbanPro.com. Whether you are looking for a tutor to learn mathematics, a German language trainer to brush up your German language skills or an institute to upgrade your IT skills, we have got the best selection of Tutors and Training Institutes for you. Read more