Beruflich Dokumente
Kultur Dokumente
SOURCES OF FINANCE
ACCORDING TO PERIOD
ACCORDING TO OWNERSHIP
OWNED CAPITAL BORROWED CAPITAL
OWNERSHIP SECURITIES
CREDITORSHIP SECURITIES
DEBENTURES
PREFERENCE SHARES
NO PAR STOCK
PREFERENCE SHARES
Preference over the payment of dividend Preference in the payment of capital at the time of liquidity
Maturity: To Redeem preference shares : the following conditions are to be fulfilled: 1) must be fully paid
2) either from accumulated profits or fresh issue of shares. reserve is or
3) if from accumulated profits capital redemption created. 4) if at premium then either out of accumulated profits share premium account
DEBENTURES
An acknowledgement of Debt. A long term promissory note for raising loan capital
Convertible
registered
TYPES OF DEBENTURES
Redeemable Zero Interest Bonds Irredeemable Zero Coupon Bonds
Sweat equity
It must be of class of shares already issued. It must be authorized by a special resolution in general meeting. The sweat shares can be issued only one year after the company is entitled to start its business. Equity shares must be listed on a stock exchange. A subsidiary of an Indian company can issue sweat equity to Indian employees even if the sub. Is incorporated out of India. All the limitations, restrictions and provisions relating to equity shares shall be applicable to the sweat equity.
LISTING OF SECURITIES
Listing means admission of the securities to dealings on a recognized stock exchange. The securities may be of any public limited company, Central or State Government, quasi governmental and other financial institutions/corporations, municipalities, etc. The objectives of listing are mainly to : provide liquidity to securities; mobilize savings for economic development; protect interest of investors by ensuring full disclosures.
LOAN FINANCING
Indigenous bankers
Trade Credit Installment Credit Advances Factoring Accrued Expenses.
Commercial banks
Public Deposits
PUBLIC DEPOSITS
Govt. Regulation on Public Deposits 1. Ceiling on Deposits 2. Maturity of Deposits 3. Form and Particulars of Advertisement. 4. Form of Application for Deposits. 5. Furnishing of Receipts to Depositors. 6. Register of Deposits. 7. Interest on Deposits. 8. Ceiling on Brokerage 9. Repayment of Deposits 10. Maintenance of Liquid Assets. 11. Return of Deposits.