What are the main methods and channels of corporate financing?

I think the mainstream channels include: banks, corporate debt issuance and other non-bank financial institutions (such as securities companies), small loan companies, guarantee institutions, private lending institutions (financing costs are very high), and Internet financing has popped up in recent years.

Channels: P2P platforms (such as Renrendai, etc.), crowdfunding platforms (such as Zhongcai.com, etc.), as well as regional equity trading centers that have emerged in the past two years (such as Qianhai Equity Trading Center, the state has established these

The purpose of the institution is to establish a multi-level capital market and solve the financing problems of small and medium-sized enterprises), etc.

There are many financing channels for different types of enterprises on the market. When selecting channels, three aspects are mainly considered: financing cost, efficiency and financial strength.

Financing costs are mainly related to the financing methods. Mortgage loans and credit loans have different risks and natural costs. Generally speaking, mortgage loans are definitely cheaper, but many channels in the market will involve hidden costs, such as loan advance payments.

Withholding deposits, requiring the purchase of financial products, etc., companies must consider these hidden costs when financing.

In addition, the financing efficiency of various channels is also different. Generally speaking, private institutions > Internet platforms > general institutions > large financial institutions. After all, for enterprises, sometimes it is also very important for funds to arrive quickly.

Finally, why is financial strength also important for enterprise financing? Because the operation of an enterprise is continuous, and financing is often phased. Financial institutions with strong funds allow enterprises to be well connected when they need continuous funding needs.

to avoid business losses caused by untimely replenishment of funds.

We can go to Mingde to learn about corporate financing channels.

Beijing Mingde Tiansheng Investment Management Center (Limited Partnership) (referred to as "Mingde Tiansheng") is a private equity fund with high-quality project enterprise investment as its core business.

Executive Partner Professor Zhang Xiaoli is a well-known venture capitalist in China and is known as a leader in listing planning for small and medium-sized enterprises.

If you still have questions about corporate financing channels, you can click the online consultation button below to chat directly with the teacher.