Several methods of financing are available to the businessmen. Solicitation from third parties and new contributions to the economy will increase the capital borrowings and loan applications. There are multiple solutions available to the borrower. The loan could take the form of a simple lead partner or a bond that will allow the lender to negotiate his debt. To obtain more funds, the company may apply to the market through an initial public offering.
[...] The bond issue is, to the lender a loan agreement entered into by a company after which the claim of the lender is represented by a bond. The bondholders receive, in addition to repayment of the loan, an interest which is determined by calculating the loan agreement. The bond is also considered in the interest calculation. This technique provides some political advantage to the company because the political power of bondholders is thereby reduced. This allows the company to obtain resources without jeopardizing its balance of power. [...]
[...] Another positive effect is the use of additional guarantees and financing solutions, and the number of "alternatives" has decreased. This leads us to study the structure of the collateral required by lending institutions. The constitution of real guarantees Credit institutions protect themselves by imposing collateral on their debtor, on the form of mortgage or a pledge. The mortgage is an interest that relates to real property used to pay a bond; in this case the repayment of a loan. The pledge is a contract whereby a debtor, (the bank customer) delivers a chattel to the creditor (the bank) as collateral. [...]
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