The purpose of corporate financing is

Since the reform and opening up, the status and contribution of small and medium-sized enterprises in China's national economy have been continuously improved, and they have become the basic force to promote national economic development and maintain social stability. The following is the purpose of corporate financing that I share. I hope it works for you.

What is the purpose of financing?

From the perspective of development, capital is a scarce resource for every small and medium-sized enterprise, and the production, operation, capital management and long-term development of enterprises are inseparable from capital all the time. Therefore, how to effectively carry out financing has become an extremely important basic activity of enterprise financial management department.

Although the basic purpose of enterprise financing is to maintain and develop its own production and capital operation, every specific financing activity is usually driven by specific motives. For example, enterprises need financing temporarily for the capital turnover of normal production and operation; In order to purchase equipment, expand scale, introduce new technologies and develop new products, enterprises need to raise funds. Financing for foreign investment and merger of other enterprises; Enterprises in order to pay off debts, adjust capital structure, raise funds, etc. No matter what the motivation of enterprise financing activities is, the ultimate goal is to obtain economic benefits and maximize shareholder value.