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Showing posts with the label capital

Financing Public-Private Partnership (PPP) Projects.

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  Global occurrence of   project financing   shows that the use of public-private partnership (PPP) mechanisms creates the necessary conditions for attracting resources and developing capital-intensive projects in many sectors of strategic importance for the society. These mechanisms are most applicable in infrastructure, environmental, agricultural and other projects. The financing of PPP projects is a complex and lengthy process that requires a comprehensive analysis and assessment of a particular project, along with ensuring its effective management. The participation of governments and local authorities in the implementation of large projects contributes to the expansion of business opportunities, the growth of the competitiveness of strategic sectors and the satisfaction of the urgent needs of society. A Brief Concept of Public-private partnership Public Private Partnership as an integral parts of project financing tool allows companies to attract investments from va...

A Comprehensive Overview of Project Finance and Corporate Finance

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  Project Finance   and   Corporate Finance   (also referred to as Balance Sheet Financing) are two financing models to fulfill the basic objective of meeting the requirement of fund of a business entity, where both rely on debt and equity as a source of funds. The thin line that separates them, are (i) the purpose behind availing these types of finances and (ii) the security offered. Overall financials of a company are managed through   corporate finance , which begins with financial modeling, raising capital, and optimizing fund usage. On the contrary,   project finance   comes into the picture when a specific project needs funding and the project’s assets and the project cashflows are offered as primary security apart from some additional collaterals. Despite the differences,   corporate finance   has often crept into the territory of   Project Finance   and has proven itself useful to finance certain projects. Theoretically, Cor...

Understanding Corporate Finance and Its Main Activities

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  Understanding Corporate Finance and Its Main Activities Corporate finance departments are charged with governing and overseeing their firms’ financial activities and capital investment decisions. Such decisions include whether to pursue a proposed investment and whether to pay for the investment with equity, debt, or both. They also include whether shareholders should receive dividends, and if so, at what dividend yield. Additionally, the finance department manages current assets, current liabilities, and inventory control. What is Corporate FINANCE Corporate finance is the subfield of  finance  that deals with how corporations address funding sources, capital structuring, accounting, and investment decisions. Corporate finance is often concerned with maximizing shareholder value through long- and short-term financial planning and the implementation of various strategies. Corporate finance activities range from capital investment to tax considerations. Activities that G...