Corporate Finance - Scope, Types & Definition of Corporate Finance Explained (2024)

Corporate finance plays a vital role in every business. Irrespective of the size or type of business operations, every company seeks to streamline its corporate financing arm for optimal wealth distribution and return generation. Considering these factors, this extends to an array of financing and investment decisions that cover four primary aspects:

  • Planning finances
  • Raising funds
  • Investing
  • Monitoring

Corporate finance refers to activities and transactions related to raising capital to create, develop and acquire a business. It is directly related to company decisions that have a financial or monetary impact. It can be considered as a liaison between the capital market and the organisation.

Corporate Finance - Scope, Types & Definition of Corporate Finance Explained (2024)
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