Foreign Funding
Key parties involved in debt funding:
- Borrower:
– The individual, company, or entity seeking debt financing.
- Lenders:
– Banks, non-banking financial companies (NBFCs), or other financial institutions providing the loan.
- Investors:
– Institutional investors, private equity firms, or funds purchasing debt instruments.
- Guarantors:
– Entities or individuals guaranteeing loan repayment on behalf of the borrower.
- Regulators:
– Authorities like central banks or financial regulatory bodies ensuring compliance.
- Legal Advisors:
– Lawyers drafting and reviewing loan agreements and ensuring regulatory adherence.
- Credit Rating Agencies:
– Organizations assessing the borrower’s creditworthiness and loan terms.
- Collateral Managers:
– Responsible for evaluating, managing, or liquidating pledged assets.
The exchange of goods, services, or capital across international borders or territories based on service demands is known as foreign trade. The significance of international trade and foreign trade policy will be the main topics of the study. Every nation has a unique set of trade regulations, and companies must adhere to these regulations to expand their services internationally. To increase the export of goods and services and create jobs, the Indian government successfully implemented the “foreign trade policy (FTP).”
Offering services for debt funding:
- Term Loans: Long-term financing for capital needs.
- Working Capital Loans: For day-to-day operational expenses.
- Bridge Loans: Short-term funding for immediate needs.
- Structured Debt: Customized loans with flexible repayment terms.
- Asset-Based Loans: Secured by collateral like inventory or receivables.
- Syndicated Loans: Loans provided by a group of lenders.
- Mezzanine Financing: Hybrid of debt and equity for growth or recovery.
- Debt Refinancing: Replacing existing high-cost debt with affordable options.
