Title :
An Analysis of Corporation Debt Financing Based on the Comparison with Equity
Author_Institution :
Sch. of Econ. & Manage., Changsha Univ. of Sci. & Technol., Changsha, China
Abstract :
Debt and equity financing are two main modes of corporation external financing. Over the recent years, corporations in China favor equity financing. Based on a comparison between the two financing modes, this paper analyses the advantages of debt financing. There are at least five advantages debt financing, such as financing costs, avoiding equity dilution, financial leverage, constraints to the management and anti-takeover.
Keywords :
financial management; corporation debt finance analysis; equity financing; Conference management; Costs; Ethics; Financial management; Hazards; Investments; Risk analysis; Risk management; Technology management; Uncertainty;
Conference_Titel :
Computational Sciences and Optimization, 2009. CSO 2009. International Joint Conference on
Conference_Location :
Sanya, Hainan
Print_ISBN :
978-0-7695-3605-7
DOI :
10.1109/CSO.2009.92
