The business market is changing rapidly these days. In the past, we will not see that much rapid change in business market which we will see today. The main reason behind that is the advancement of technology and rapidly changing strategies by competitors. In the past, we see a new product in the already established portfolio of a company product line after years but now we see it twice in a year. If we take the example of iPhone we all know they launch their product after five years but now they are doing it annually.
The reason behind that is the advancement of technology and competition in the market. If they will not do that they will not remain in the market as a market leader. Same goes with other industries as well. But through this rapid change companies are facing great difficulty in managing resources for new projects. The amount of the previous project is not recovered yet and they have to come up with new projects. So by doing this, they manage to stay in the market but create great difficulty in the shape of finance for their company and business.
So for that, they need extra investment outside of the company which can help them to launch this new project and maintain their position in the market. The companies who manage it well get good business and remain on top. There are some platforms from which you can get investment for your new projects.
The first option which a company had to get investment for their new project is to sell their stock or share in the market. By doing this they sell a specific amount of shares of their company in the market and people will buy them. So when people will buy their share they become the owner of a specific portion of that company. When people buy these shares the money generated by these shares used in launching a new project in the market and these shareholders get dividend on a regular basis on these shares. So by doing this company generate less financial pressure on their account department.
There are some investment companies in the market who like to invest in projects of ongoing companies which have a great reputation in the market. By doing so they secured their investment because these companies have a history of successful projects. Companies like BlueOceanCapitalGroup are very keen to invest in these projects because the only way they are generating money for themselves is by investing in these kinds of projects.
The loan from Banks:
The last option which these companies have in their pocket is to get a loan from banks for their new projects. Companies get a loan for their new projects very easily if they have a great reputation in the market. But the reason why companies do not go for loan option from banks because it will exert extra pressure on company financial department. Because they have to meet bank deadlines and gave that money back to banks on the mentioned deadline. Which create pressure on the business and finance department?