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CORPORATE FINANCING OPTIONS

6 May, 2015 - 17:10

Corporations can raise funds by issuing common stock, preferred stock, long-term bonds or notes. The board of directors is responsible for choosing financing options. A great number of factors influence financing options such as the ability to raise funds, interest rates, tax considerations, and investor income return expectations. The type and mix of securities issued have an important effect on net income and earnings per share.