Sources Of Funds After Gfc

Table of contents

Table of contentsIII
1. Introduction1
2. Sources of Funds1
2.1 innate livelihood1
2.2 External Funding1
3. Effects of the spheric pecuniary crisis on companies funding decisions1
3.1 transmits in internal sources of funding2
3.2 Change in extraneous sources of funding3
4. Examples and recommendations for corporates funding5
5. Conclusion7
ReferencesIV
extensionV

1. Introduction
In the shadow of the global financial crisis (GFC) it has become pop off that there take been challenges in how companies in Australia move up coin. callable to the impact of the crisis liquidity has dried up from the normal sources. Funding can be raised internally or externally, thus far due to the crisis and the associated consequences for the world economy in recent times, companies have perceptibly changed the flow and composition of their sources of funds.
The report will soon outline how the GFC had an influence on how Australian companies raised funds.
The offset section of this paper will introduce internal and external funding. The second part outlines the corresponding effects of the crises on companies choices of funding. lastly the third part includes examples and recommendations for corporate funding sources.
2. Sources of Funds
2.



1 Internal Funding
As mentioned by Broadbent (2009, p.1) internal funding comprises the possibility of a caller-out raising funds internally from its profitable operations. This is referred to as retained earnings.
2.2 External Funding
On the other side companies can raise funds through the use of debt or equity. The RBAs exposition of external funding distinguishes between net debt and net equity. The motive term includes funds from intermediated borrowings (e.g. bank loans) and non-intermediated borrowings (e.g. bonds) excluding the repayments of debt. The latter term comprises funds from new equity issuance minus buybacks (2009, p.2).
3. Effects of the global financial crisis on companies...If you want to get a replete essay, order it on our website: Orderessay



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