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Showing posts with the label large projects

Debt funding of large Investment and Business Projects

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  Debt funding of large Investment and Business Projects Successful commercial activity requires the attraction of funding sources that meet the production and investment needs of the business. To maintain financial liquidity and business continuity, it is necessary to select the best funding sources that meet certain criteria in terms of cost of capital and time. All investment costs must be covered by the planned cash flows in accordance with the schedule. Each of the sources of equity financing and debt financing differs in terms of receipt of funds, weighted average cost of capital (WACC) and other criteria. The consequences of using inappropriate funding sources can be serious (for example, a high risk of insolvency or an unfavorable change in the capital structure). Since external resources are very often used for business development, the most important decision for any company is the right choice of a source of debt funding for investment projects. Decision-makers must analyze

Long-term loans for large projects and businesses

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  Long-term loans for large projects and businesses The baseline to attain a certain level in business, needs additional fund which cannot always be obtained from the company’s current income. Moreover, in many cases it is impractical, and it is much more rational to finance new investment projects from external sources. As has been repeatedly highlighted in reports from the World Bank and other respected financial institutions, the lack of long-term business financing is holding back global economic growth, inhibiting important investment projects. Long-term loans are considered one of the safest instruments for financing large projects. Borrowed funds often help companies achieve impressive success and overcome difficult periods in their activities. Long-term loans are considered one of the safest instruments for financing large projects. Borrowed funds often help companies achieve impressive success and overcome difficult periods in their activities. Havelet Finance Limited is an in