Cash management Services - One stop solution for all cash related operations of your business.
Cash is the fuel to your business. And to keep your supply of fuel going, you need to manage it well.
According to Forbes, 9 out of 10 startups find it difficult to sustain in the market. Why?
Disclaimer: This Article is for information purposes only. The views expressed in this Article do not necessarily constitute the views of Kotak Mahindra Bank Ltd. (“Bank”) or its employees. The Bank makes no warranty of any kind with respect to the completeness or accuracy of the material and articles contained in this Article. The information contained in this Article is sourced from empaneled external experts for the benefit of the customers and it does not constitute legal advice from the Bank. The Bank, its directors, employees and the contributors shall not be responsible or liable for any damage or loss resulting from or arising due to reliance on or use of any information contained herein. Tax laws are subject to amendment from time to time. The above information is for general understanding and reference. This is not legal advice or tax advice, and users are advised to consult their tax advisors before making any decision or taking any action.
With new reforms like demonetization and GST tax structure, the World Bank is positive about India’s economy. Predicting a 7.2% growth rate of the Indian economy, the World Bank manifested its trust in the speedy growth of the country’s economic activities over this fiscal year. A fast paced economic growth is possible only if all its components grow at equally higher rates. In order to be in line with the growing trends, your business activities must also grow relatively. This enables one to take a lead in their respective businesses.
The idea of Financing
A company is run by and for fund generation. Financing is the most important aspect for existence of a company. Financing is the act of raising funds for business activities. These activities may be related to the start-up of a company, for running one’s business or expansion. Activities of financing not only help you raise funds at the required time but also help in tax saving. These financial services can be availed from banks as well as financial institutions.
There are various sources of finance in the market today. Which source should one opt for is based on the following factors:
Need for Finance
Financial needs of an entrepreneur also help him to decide what type of finance his company needs. These needs may be short term or long term. Based on the following needs listed, a client determines the financing solution as well as their financial advisor.
Advice as to which financial instrument will fulfil the requirement for a specific need of money stated above should be well researched and backed with facts and figures.
Innovative Financing Solutions
Innovative financing solutions refer to a range of non-traditional financial mechanisms used to raise funds. Financial aid may be given through traditional means of loans, debt and equity instruments or modern mechanisms such as micro-contributions, taxes, partnerships and market-based financial transactions. Kotak provides a vast range of financial solutions for you to fund your aspirations. These solutions are divided into three broad categories:
Compulsory Convertible Debentures (CCD),
Redeemable Preference Shares (RPS) and
Detailed information of all the financial solutions is just a call away. A financial manager not only informs you about the various financing solutions available in the market but also provides advice about which financing solution will best suit your funding requirement. Kotak also assists you in performing all the formalities related to these financing solutions with minimum cost and effort. So, all you need to do is focus on the growth of your company and leave the rest for experts who have their best interest in your growth.
For all kinds of financial assistance that you may need, give us a call on 1860 266 2666
You have already rated this article