The need to raise funds from Organization Finance! Why should you be wary of investment? Own capital of the enterprise

Fundraising is one of the basic needs of any corporation. This problem is solved in the interaction of the corporation with an investment institution, for example, to place an issue of shares or bonds. Thanks to this interaction, the corporation can correctly build its capital raising policy, choose the best sources of financing, reduce the cost borrowed money. On the other hand, within the framework of the corporation, enterprises that have funding needs can operate. To satisfy it, they can, firstly, request resources within the corporation, and secondly, enter the capital market external to the corporation, which is one of the greatest achievements of modern civilization, which allows solving the problems described above.

The real sector of the economy has investment opportunities, for the implementation of which, in order to generate profit, capital resources are needed. On the other hand, there are sectors that do not have domestic investment potential, but have free resources. The capital market has emerged and developed as a mechanism that simplifies and reduces the cost of relations between those who own resources and those who need them.

The banking system is one of the conductors of capital to the real sector. However, in the current situation in the country's economy, banks are losing their status as a stronghold financial system. Confidence in banks has been shaken, which will cause, among other things, increased selectivity in issuing loans, especially long-term ones. As a result, the enterprise, even with clear investment opportunities, may be left without financing.

The most attractive market for a corporation is valuable papers, which, unfortunately, did not have time to develop to the extent that not only large, but also medium and small enterprises will be able to attract resources on it, turned out to be thrown back several years as a result of the crisis. At present, only the largest and most professional operators remain on the stock market, while the volume of transactions has decreased tenfold. Consequently, plans for corporate share issues for sale on the market should be adjusted in the direction of attracting foreign investors.

But life does not stop and corporations do not experience fewer funding needs. In corporate associations, financing problems often arise, moreover, the problem of one business is the lack of funds for potential growth, the other is the lack of funds in general (with stagnating production), and the third is the inability to expand on existing sites.

For corporations, as a rule, corporate finance services are needed - attracting investors, both on a debt and equity (equity) basis, but without moving ownership of a controlling stake. The second type corporations are interested in attracting a strategic investor, and the main shareholders are likely to agree with the loss of control. As a rule, a strategic investor wants to acquire more than 50%, and sometimes more than 75% of the shares of such a corporation, that is, to absorb it. The owners of the third type of corporations have the funds (or provide schemes for obtaining funds) for the acquisition (acquisition) or consolidation (merger) with another business, which should bring additional income(synergistic effect).

Services of all these types are provided by specific financial institutions - investment banks - which are just emerging in Russia as a link in the financial system. Investment banks are most often transformed into large universal investment companies and banks operating in the securities market.

On the one side, investment bank should have a powerful analytical service capable, working together with the enterprise, to penetrate into the essence of production and investment processes. On the other hand, an investment bank needs an infrastructure that allows it to work in all segments of the securities market, as well as organize interaction with banking structures.

The investment bank searches for a strategic investor, acts as an advisor on mergers and participates in all necessary equity transactions.

A typical corporate finance product offered by an investment bank typically includes services for:

1. Assessing the need to attract resources (investment diagnostics);

2. Development of optimal financing instruments and development of recommendations for their application (investment design);

3. Intermediation between the corporation and capital supply structures (issuing activity, loan deal);

4. Accompanying the financing project (financial consulting).

The analysis of the corporation's activities is carried out with the level of detail necessary to identify the volume of the need for additional financing. It is possible that the need for additional funding will not be identified at all. Nevertheless, the financial analysis And economic evaluation corporations are quite important in the investment banking process. It is on the basis of the results of the analysis that all further actions on the choice of the type of sources and attraction of financing.

It should be added that the basis for meeting the needs of a corporation in financing is a transaction (a series of transactions) for the purchase and sale of its securities or for the provision of a bank loan. The most important parameters of the transaction are its size and price, which, among other things, depend on financial instrument selected to provide investment needs borrower.

It is advantageous to use debt financing of a corporation not on a temporary basis, but leaving a permanent share in the advanced capital, that is, consistently replacing debt with its own financial resources in equal amounts. On the one hand, this exempts from the one-time repayment of a fairly large principal part of the debt from profit or other own sources. On the other hand, by maintaining a substantial share of debt in a corporation's advanced capital, it is possible to continually enjoy the tax benefits of financial leverage, thereby increasing the corporation's market value. Of course, such behavior will require a clear calculation based on stable profitable operation.

The financing instrument is selected depending on the amount, term and limitation on the cost of capital imposed by the profitability of the corporation's projects. Initially, almost any possibilities are considered - from ordinary shares to bank loans and bonds. The issue of shares, as already mentioned, is unlikely to be successfully placed on the Russian market at the present time. There is, however, the possibility of a private placement, meaning the sale of the entire issue to one or more strategic investors. Services investment bank may include seeking out such investors.

Bank credit is currently unnecessarily expensive. However, an investment bank may work to create a banking syndicate that lends to the corporation at a reduced rate. A syndicated loan is usually cheaper than a loan from a single bank, since the entire set of credit risks associated with this loan, is divided among the members of the syndicate.

Today's problems of the banking system are the basis for the emergence of the possibility of issuing corporate bonds, which are a debt financing instrument having a credit nature. Possible issue of bonds different kind: coupon bonds(with fixed and floating coupon yield), discount bonds and convertible bonds (yield is linked to the placement parameters of the additional issue of shares and their market value).

Small bond issues ($3-10 million) can be placed privately. Large loans (more than $10 million) should be serviced jointly by several financial institutions and placed both privately and among big investors, and publicly, among small and medium-sized investors.

There are also many "non-traditional" Russian market capital instruments with which it is possible to attract financing. Some of the tools used in financial practice to attract financial resources, discussed below, however, it should be borne in mind that, as a rule, it is often possible to design a tool that exactly meets the specifics of a particular corporation and is most suitable for it.

Financing options

The Corporation can use the following options for raising funds:

1. Issue of ordinary shares.

2. Issue of preferred shares.

3. Issue of corporate bonds.

4. Getting a bank loan.

There are the following types of attraction strategies financial resources, which can have inward and outward orientations (but, as a rule, should organically combine both).

1. Usage own funds to expand their market niche. It is used by medium and large highly specialized firms operating in established stable markets. Generally unprofitable.
2. Consolidation of financial resources of medium and large firms to carry out costly projects to capture new markets.
3. Use of all available sources of financing (loans, issue of shares, creation of consortiums, etc.) for the formation and implementation of promising innovative programs for small and medium-sized enterprises in science-intensive industries. Risky, but highly profitable.
4. Attracting donor funds from large firms - consumers of products within the vertical framework with them.
5. Cross financing (units that generate funds share them with those who lack them).
External orientation involves reliance on borrowed funds (loans and bank loans), internal - on own (and profit).

The funding strategy defines:

1) the optimal ratio of internal and external sources of raising funds;
2) the price that the firm can pay for them;
3) methods of distribution (redistribution) of financial resources between departments.

The first task is particularly complex and does not have an unambiguous solution. The reason is that a deviation from the optimum in either direction is both extremely profitable and risky.

Profit orientation is the safest way to finance. But, firstly, its value is generally limited, which imposes a rigid framework on the potential development of the company.

Secondly, the growth of the share of profits directed to the expansion and improvement of production infringes on the current interests of the owners.

These restrictions, it would seem, can be overcome by issuing shares, which brings in additional huge amounts of money. However, companies are usually reluctant to take this step, and for good reason. The fact is that the shares are sold to third parties, and, consequently, they go out of the control of the issuer and are subsequently freely sold and bought on the securities market. Thus, sooner or later they can be concentrated in the hands of any person (including a competitor), which will allow him to establish control over the corporation without the knowledge of the founders.

In this sense, the use of external (loan) sources of financing is more preferable. But at the same time, the firm becomes dependent on creditors, who, on occasion (which is especially typical for Russia), can purposefully bankrupt it.

However, the use of borrowed funds can bring a lot of benefits to the company (and not just prevent a hidden change of ownership). The fact is that an increase in their share causes an increase in the main indicator characterizing the efficiency of its work - the return on equity.

The higher it is, the greater the demand for the company's shares, the higher their rate and, thus, the price of the corporation itself. The reason is that the attracted capital earns profit on a par with its own, and is excluded from the calculation in this case.

At the same time, an increase in the share, as already mentioned, increases the risk accordingly, because the firm has right moment may not be able to pay off loans.

Many of the negative aspects of the strategies described above for attracting financial resources can be overcome with the help of - long-term lease of equipment. The lessor company purchases (including on behalf of the lessee company) and leases the necessary elements of fixed capital.

Sometimes there is a leaseback - the entity sells the property of the company and takes it on lease with the possibility of repurchase.

1. Depending on the number of participants:

Direct leasing (supplier and lessor - one person);
indirect leasing (property is leased not by the supplier, but by a financial intermediary).

2. By the type of property that becomes the object of the transaction (movable and immovable).

3. Depending on the place of its conclusion (internal and external). With domestic leasing, all participants represent one country. With external (international) - different states.

4. Depending on the form of return of funds, leasing is allocated:

WITH cash payment;
with compensation payment (products, services);
with mixed payment.

5. By scope of service:

Net leasing (all maintenance of the property is carried out by the lessee);
with extra service.

6. According to the period of use of the property and related depreciation conditions:

With full payback and full;
with incomplete.

7. By the nature of payment (operational and financial leasing).

Operational leasing involves the lease of property for a period less than normative term his service. Therefore, lease payments under one contract do not cover the entire cost of the property, and it is leased several times. In this case, the responsibility for repairs and property usually falls on the lessor. This form of leasing is used for vehicles, construction equipment, agricultural and computer equipment.

Payments for operational leasing are higher than for other forms, due to the additional risks of not being able to re-lease the property. At the end of the contract, the property is returned.

Financial leasing is an operation for the special acquisition of property into ownership with subsequent leasing for use for a period approximately coinciding with the period of operation and depreciation. Typically, property is purchased for a specific user who chooses it himself. The risk passes to the lessee.

Sometimes separate leasing is used, which is partly financed by the lessor and partly by loans. The creditors bear the main risk.

Companies with weak financial base, but highly profitable, as well as young and small enterprises, can use subleasing.

The lessor reduces the risk of non-repayment of loans, receives certain tax (on property) and depreciation benefits.

The lessee acquires:

100% financing;
no need for an immediate refund;
the ability to create a convenient payment scheme for everyone;
reducing the risk of moral and physical wear and tear for the lessee;
decrease in taxable income, since lease payments are expensed;
accelerating the turnover of products, stimulating the introduction of new products and mastering the achievements of scientific and technical progress.

The capital raising strategy is not least determined by the price that must be paid for it. It is affected by:

Payouts from profits, for example

Attracting investments and investing financial resources underlies the successful start and development of any business, the implementation of any project.

Entrepreneurs' own funds are not always sufficient for the implementation and development of new promising areas. But there are always people, financial institutions, large entrepreneurs who are ready to invest their money in new promising developments, innovations, products, production, etc. on various conditions (from borrowing funds at interest to acquiring a share and participating in a business). However, just a good business idea or an ingenious technical development is not a sufficient condition for receiving money for its implementation.

To attract investment it is necessary:

correctly formulate the idea and present it in a form understandable to financiers - business plan, financial model;
find and attract organizations that are ready to finance investment projects in this business area on acceptable terms;
conduct negotiations, qualitatively present the project;
draw up the necessary documentation, conclude contracts, etc., that is, ensure a transaction for obtaining financing from a legal point of view.

What sources can be attracted to finance an investment project?

Today there are many financial institutions who are ready to finance a promising project, subject to competent business planning and justification. Below is far from complete list organizations with which the specialists of LLC "CEAFIT" deal in the search for investors.

direct investment funds;
venture capital companies;
state banks;
commercial banks;
private investors;
leasing companies;
entrepreneurship development funds;
employment funds, etc.

Our company is in partnership with a number of similar organizations.

What work does CEAFIT LLC perform to attract investment in the project?

search for potential investors;
development of a business plan (feasibility study, financial model) or other materials in accordance with the requirements of investors;
Preparation information materials to search for an investor;
placement on special information resources and sending potential investors information about the investment project, including a business plan, summary, teaser, financial model and other information;
negotiating on behalf of the initiator of the business project with potential investors;
updating and changing the business plan, summary, financial model, if necessary;
consulting assistance in determining options entry and exit of the investor from the business project;
determination of the project financing scheme;
analysis of investor proposals and draft foundation (and/or similar) agreements;
Preparation necessary documentation to make a deal.

How much does it cost to attract an investor?

A desirable (but not obligatory) condition for attracting investments is the competent implementation of the necessary research - business plans, feasibility studies, building a financial model, etc., mainly by employees of TSEAFIT LLC.

Our specialists must be well versed in the project and be confident in its quality assessment and presentation. After successful attraction of funds, these expenses are deducted from the amount of the commission of LLC "CEAFIT" for attracting investments.

If you carry out these studies on your own or by another organization, we will perform an examination of the materials free of charge and, if necessary, make recommendations for their correction, after which you can begin active work with investors. However, our company reserves the right to refuse cooperation if the materials are not brought to the required quality level.

The average cost of our investment attraction services is 2% of the attracted investments (for projects with the required investment amount up to 50 million rubles). For more capital-intensive projects, the cost of our services is negotiated separately.

Payment upon receipt of the first tranche of financing.

If you are interested in attracting investments to finance a promising projectin Tyumen and Tyumen region, Khanty-Mansiysk autonomous region(KhMAO, Yugra)contact us by phone +7(3452)57-82-93 or by e-mail or use any other convenient for you. At a minimum, you will receive a professional and absolutely free consultation to solve your problem.

The following types of strategies for attracting funds are distinguished, which can have an internal and external orientation (but, as a rule, should organically combine both). 1. Using your own funds to expand your market niche. It is used by medium and large highly specialized firms operating in established stable markets. Generally unprofitable. 2. Combining the financial resources of medium and large firms to carry out costly projects to capture new markets. 3. Use of all available sources of financing (loans, issue of shares, creation of consortiums, etc.) for the formation and implementation of promising innovative programs for small and medium-sized enterprises in science-intensive industries. Risky, but highly profitable. 4. Attracting donor funds from large firms - consumers of products within the framework of vertical integration with them. 5. Cross financing (units that generate funds share them with those who lack them). External orientation involves reliance on borrowed funds (bond loans and bank loans), internal - on own (authorized capital and profit). The funding strategy defines: 1) the optimal ratio of internal and external sources of raising funds; 2) the price that the firm can pay for them; 3) methods of distribution (redistribution) of financial resources between departments. The first task is particularly complex and does not have an unambiguous solution. The reason is that a deviation from the optimum in either direction is both extremely profitable and risky. Profit orientation is the safest way to finance. But, firstly, its value is generally limited, which imposes a rigid framework on the potential development of the company. Secondly, the growth of the share of profits directed to the expansion and improvement of production infringes on the current interests of the owners. These restrictions, it would seem, can be overcome by issuing shares, which brings in additional huge amounts of money. However, companies are usually reluctant to take this step, and for good reason. The fact is that the shares are sold to third parties, and, consequently, they go out of the control of the issuer and are subsequently freely sold and bought on the securities market. Thus, sooner or later they can be concentrated in the hands of any person (including a competitor), which will allow him to establish control over the corporation without the knowledge of the founders. In this sense, the use of external (loan) sources of financing is more preferable. But at the same time, the firm becomes dependent on creditors, who, on occasion (which is especially typical for Russia), can purposefully bankrupt it. However, the use of borrowed funds can bring significant benefits to the company (and not just prevent a hidden change of ownership). The fact is that an increase in their share causes an increase in the main indicator characterizing the efficiency of its work - the return on equity. The higher it is, the greater the demand for the company's shares, the higher their rate and, thus, the price of the corporation itself. The reason is that the attracted capital earns profit on a par with its own, and in this case it is excluded from the calculation of profitability. At the same time, an increase in the share of borrowed capital, as already mentioned, correspondingly increases the risk of bankruptcy, because the company may not have the funds to repay loans at the right time. Many of the negative aspects of the strategies described above for attracting financial resources can be overcome with the help of leasing - long-term rental of equipment. The lessor company purchases (including on behalf of the lessee company) and leases the necessary elements of fixed capital. Sometimes there is a leaseback - the entity sells the property to the leasing company and leases it with the possibility of repurchase. In terms of content, leasing is a form of commodity credit in fixed capital, and in form it is similar to investment financing. There are the following main leasing options. 1. Depending on the number of participants: direct leasing (supplier and lessor - one person); indirect leasing (property is leased not by the supplier, but by a financial intermediary). 2. By the type of property that becomes the object of the transaction (movable and immovable). 3. Depending on the place of its conclusion (internal and external). With domestic leasing, all participants represent one country. With external (international) - different states. 4. Depending on the form of return of funds, leasing is allocated: with a cash payment; with compensation payment (products, services); with mixed payment. 5. In terms of service volume: net leasing (all property maintenance is carried out by the lessee); with extra service. 6. According to the period of use of the property and related depreciation conditions: with full payback and full depreciation; with incomplete. 7. By the nature of payment (operational and financial leasing). Operational leasing involves the lease of property for a period less than the standard period of its service. Therefore, lease payments under one contract do not cover the entire cost of the property, and it is leased several times. In this case, the responsibility for the repair and insurance of property usually falls on the lessor. This form of leasing is used for vehicles, construction equipment, agricultural and computer equipment. Payments for operational leasing are higher than for other forms, due to the additional risks of not being able to re-lease the property. At the end of the contract, the property is returned. Financial leasing is an operation for the special acquisition of property into ownership with subsequent leasing for use for a period approximately coinciding with the period of operation and depreciation. Typically, property is purchased for a specific user who chooses it himself. The risk passes to the lessee. Sometimes separate leasing is used, which is partly financed by the lessor and partly by loans. The creditors bear the main risk. Enterprises with a weak financial base, but highly profitable, as well as young and small enterprises, can use subleasing. The lessor reduces the risk of non-repayment of loans, receives certain tax (on property) and depreciation benefits. The lessee acquires: 100% financing; no need for an immediate refund; the ability to create a convenient payment scheme for everyone; reducing the risk of moral and physical wear and tear for the lessee; decrease in taxable income, since lease payments are expensed; accelerating the turnover of products, stimulating the introduction of new products and mastering the achievements of scientific and technical progress. The capital raising strategy is not least determined by the price that must be paid for it. It is affected by: payouts from profits, such as dividends on preferred shares; interest on bank loans and bonds; tax rate. In practice, the weighted average, or current, cost of capital (WACC) is calculated and is often used as a discount rate and benchmark for comparing the benefits of raising additional capital and determining the appropriate course of action. Any new version of the capital-raising strategy is compared with its current price or internal rate of return, and if it turns out to be higher, this option is taken into service. As for the redistribution of financial flows between departments, his strategy is developed using portfolio matrices, such as McKinsey.

Send your good work in the knowledge base is simple. Use the form below

Students, graduate students, young scientists who use the knowledge base in their studies and work will be very grateful to you.

Hosted at http://www.allbest.ru/

Introduction

The increased need for financial resources, in connection with the large-scale tasks facing Russian enterprises today, highlights, as an urgent problem, the problem of studying the sources of finance for organizations.

The financial condition of organizations in Russia today is characterized by the presence of problems, the origin of which is largely due to transformations in the country's economy in transition to market relations period, changes in the structure of the credit and banking system, losses of a significant part of equity capital by organizations during the period of deepening crisis and inflationary processes. While the foundation financial activities organizations should make up their own capital, in a number of companies the amount of borrowed funds used significantly exceeds the share of own funds.

A competent policy regarding the financial capital of an enterprise and its effective management is one of the most actual problems for most businesses today. In addition to using own funds, there is a need to attract borrowed funds from various sources of financial resources. However, the attraction process can be effective only if the necessary rational ratio between own and borrowed funds is observed. Therefore, it is necessary to form a scientifically based policy in the field of using the financial capital of an enterprise, which would take into account the peculiarities of the functioning of enterprises in modern Russian conditions.

The purpose of the work is to identify ways to attract financial resources of the organization.

The object of the study is the study of the financial resources of the organization.

The subject of the research is the study of ways to attract financial resources of organizations.

The hypothesis of the study is to identify the problems of attracting financial resources of the organization.

Research objectives:

1. Examine the financial resources of the organization

2. Determine additional funds raised by the organization

3. Consider the organization's financial capital management

Methodological foundations: As the basic foundations of our study, it is necessary to single out the works of some Russian and foreign authors, such as: M. Meskon, M. Albert, F. Hedouri, Bocharov V.V., Leontiev V.E. and Volodin A.A.

The structure of the study: our work consists of an introduction, three chapters, a conclusion and a list of references.

Chapter 1. Financial resources of the enterprise: own and borrowed funds

1.1 Financial resources of the enterprise

The financial capital of an enterprise is the basis for its creation and development. In the process of functioning, the capital of the enterprise ensures the interests of the owners, staff and the state.

All organizations engaged in economic activities must have a certain amount of capital to meet the economic needs of the corporation.

The financial resources of a corporation are a set of its own Money and receipts of borrowed and attracted funds intended for the implementation financial obligations, financing current costs and costs associated with the expansion of capital. They are the result of the interaction of receipt, expenditure and distribution of funds, their accumulation and use.

In practice, a newly created enterprise receives financial resources from the founders, owners (investors), commercial banks, investment funds, etc. In the future, the formation of financial resources at existing enterprises is mainly carried out from their own sources - profit and depreciation, which does not exclude involvement in turnover of financial resources through additional issues, shares, bonds and other securities, obtaining loans and other borrowed funds.

The main task of financial managers is the rational use of financial resources, determining the most effective forms of application of financial resources and ensuring profit on this basis.

Financial resources play an important role in the reproduction process and its regulation, the distribution of funds in the areas of their use, stimulate the development economic activity and increase its efficiency and allow you to control the financial condition of an economic entity.

Consequently, financial resources perform reproductive, regulatory, distributive, stimulating and control functions.

The requirements for financial resources are as follows:

It is necessary to mobilize them, which makes it possible to ensure their maneuverability and concentration of funds on the most important areas economic activity;

It is necessary to develop plans for the receipt of financial resources and determine the main directions for their use in the enterprise for the coming period and the long term;

It requires constant compliance with certain proportions between the expenditure of financial resources (costs) and the receipt of financial resources (results).

All sources of financial resources are cash income and receipts that an enterprise or other economic entity has in a certain period (or date) and which are directed to the implementation of cash expenses and deductions necessary for production and social development: investments (direct, portfolio and others), advances in current costs (main in the cost price), expenses and deductions for social and other needs, centralized special funds and budgets of various levels.

Having named the main types of expenses and deductions of financial resources, we have thus classified financial resources by directions of use.

According to the sources of formation, financial resources can be divided into own, borrowed, attracted (on a returnable and irrevocable basis), appropriations from the budget or centralized extra-budgetary funds. Financial resources are formed mainly from profit (from the main and other activities), as well as proceeds from the sale of retired property, depreciation, growth of stable liabilities, loans, various earmarked income, shares and other contributions of the company's employees.

Financial resources can be mobilized for financial market. The form of their mobilization is the sale of shares, bonds and other securities issued by this company; dividends and interest on securities of other issuers; income from financial transactions, etc.

Companies can receive financial resources from associations and concerns to which they belong, parent organizations while saving sectoral structures bodies government controlled in the form of budget subsidies, payments of insurance organizations. As part of this group of financial resources, formed in the order of redistribution, an increasing role is played by the payment of insurance indemnities and an ever smaller role is played by budgetary financial sources, which are strictly for their intended purpose.

The grouping of financial resources according to the sources of their formation is schematically presented in Table 1.

Table 1. Grouping of financial resources of the organization

Financial resources of the organization

Formed with own funds	Mobilized in the financial market	Arriving in order of redistribution
Profit from operating activities Profit from the sale of retired property Profit from non-operating operations Depreciation Sustainable Liabilities Target receipts Share and other contributions of employees of the corporation, etc.	Sale of own securities Dividends and interest on securities of other issuers Income from operations with foreign exchange and precious metals	Insurance claims Financial resources coming from concerns, associations and industry structures Financial resources formed on a share (equity) basis Budget subsidies, etc.

The main areas of use of the corporation's financial resources include:

Financing the current needs of the production and trade process to ensure the normal functioning of the production and trading activities of the corporation through the planned allocation of funds for the main production, production and auxiliary processes, supply, marketing and sales of products;

Financing administrative and organizational measures to maintain a high level of functionality of the corporation's management system by restructuring it, allocating new services or reducing the management staff;

Investing in the main production in the form of long-term and short-term investments for the purpose of its development (complete renewal and modernization of the production process), the creation of a new production or the reduction of certain unprofitable areas;

Financial investments - investment of financial resources for purposes that bring corporations a higher income than the development of their own production: the acquisition of securities and other assets in various segments of the financial market, investments in the authorized capital of other companies in order to generate income and obtain rights to participate in the management of these companies, venture financing(capital investment in projects with a high level of risk and at the same time high yield), providing loans to other companies;

The formation of reserves, carried out both by the company itself and by specialized insurance companies and state reserve funds at the expense of standard deductions to maintain a continuous circulation of financial resources, protect the company from adverse changes market conditions.

1.2 Own capital of the enterprise

The total amount of own capital is established by the enterprise independently. Usually it is determined by the minimum need for funds to form the necessary stocks of goods - material assets, to ensure the planned volumes of production and sales of products, as well as to make payments on time.

Own capital is formed at the expense of the value of property invested (invested) by the owner in the enterprise. It is calculated as the difference between the total assets of the enterprise and its liabilities (liabilities) and represents the amount of excess of the reasonable market value ownership of outstanding debt.

Equity capital, in comparison with borrowed capital, is characterized by the following positive features:

1. Ease of attraction, since decisions related to increasing equity capital (especially through internal sources of its formation) are made by the owners and managers of the enterprise without the need to obtain the consent of other business entities.

2. Higher ability to generate profits in all areas of activity, tk. when using it, the payment of loan interest in all its forms is not required.

3. Ensuring the financial sustainability of the development of the enterprise, its solvency in the long term, and, accordingly, reducing the risk of bankruptcy.

However, it has the following disadvantages:

1. The limited volume of attraction, and, consequently, the possibility of a significant expansion of the operating and investment activities of the enterprise during periods of favorable market conditions and at certain stages of its life cycle.

2. High cost compared to alternative borrowed sources of capital formation.

3. An unused opportunity to increase the return on equity ratio by attracting borrowed funds, since without such attraction it is impossible to ensure that the financial profitability ratio of the enterprise's activity exceeds the economic one.

Thus, an enterprise using only its own capital has the highest financial stability, but limits the pace of its development (because it cannot provide the formation of the necessary additional volume of assets during periods of favorable market conditions) and does not use the financial opportunities for increasing profit on invested capital.

The components of equity capital are: authorized, additional, reserve capital, retained earnings, etc.

The authorized capital is the starting capital necessary for the enterprise to carry out financial and economic activities in order to make a profit. Contributions to the authorized capital are divided into contributions in cash and contributions in property transferred by the participant to pay off his obligations under the contribution.

The authorized capital is the property basis of the organization's activities, it determines the share of each participant in the management of the enterprise and guarantees the interests of its creditors.

Authorized capital from others structural parts own capital of the enterprise is distinguished by the fact that it must be distributed among its participants (founders). Therefore the decision general meeting founders on its changes should be accompanied by an indication of the procedure for their distribution among the participants.

Additional capital is share premium generated in open joint-stock companies and representing the amount of the excess of the sale price of shares over the nominal value during an open subscription. Share premium arising from the formation authorized capital joint-stock companies, is considered only as additional capital and it is not allowed to direct it to the needs of consumption.

In other words, additional capital is a source of funds for the enterprise, formed as a result of the revaluation of property or the sale of shares above par value.

According to its financial origin, additional capital has the following sources of formation:

share premium;

Revaluation amounts outside current assets;

Exchange differences associated with the formation of authorized capital;

Amounts of retained earnings directed as sources of coverage capital investments;

Property received free of charge (except for property related to the social sphere, which is reflected in retained earnings);

Funds allocated from the budget used to finance long-term investments.

Additional capital can be replenished at the expense of funds allocated for replenishment of own working capital, this source is formed in the process of distribution by the participants of the undistributed profit of the enterprise.

Appropriations received from the budget of any level, which are spent by the enterprise to finance long-term investments, join the additional capital.

Funds received from the budget are first credited to a special bank account, from which they are then debited to cover expenses incurred in accordance with investment program enterprises. Further, the spent amount of budget appropriations is included in the composition of additional capital. The basis for such accession can only be the fact of using budget funds for the intended purpose.

As a rule, part of the additional capital that arose as a result of the receipt of a particular type of property (or an increase in its value) is used to cover costs in connection with the disposal of a similar property (or a decrease in its value).

The next component of equity capital is reserve capital, which is the insurance capital of the enterprise, intended to cover total balance sheet losses in the absence of other possibilities for their compensation, as well as to pay income to investors and creditors if there is not enough profit for these purposes. The funds of the reserve capital act as a guarantee of the uninterrupted operation of the enterprise and the observance of the interests of third parties. The presence of such a financial source gives the latter confidence in the repayment of the company's obligations.

Accounting for the formation of reserve capital should provide information necessary to monitor compliance with its upper and lower limits. In all cases limit value reserve capital cannot exceed the amount determined by the owners of the enterprise and fixed in the constituent documents. At the same time, for joint-stock companies and joint ventures, its minimum size is also legally established.

A very peculiar and promising form of the enterprise's own capital are special (target) financial funds. These include purposefully formed funds of own financial resources for the purpose of their subsequent targeted spending.

The organization has the right to create reserves for:

Upcoming vacation pay for employees;

Payment of annual remuneration for the length of service;

Payment of remuneration based on the results of work for the year;

Repair of fixed assets;

Production costs for preparatory work due to the seasonal nature of production;

Future costs of land reclamation and implementation of other environmental measures;

Upcoming repair costs for items intended for rental under a rental agreement;

Warranty repair and warranty service;

Coverage of other foreseen costs and other purposes provided for by law Russian Federation, normative legal acts Ministry of Finance of Russia.

The procedure for the formation and use of the funds of these funds is regulated by the charter and other constituent and internal documents of the enterprise.

Accumulation and consumption funds are special-purpose funds. The accumulation fund means funds allocated for the production development of the organization or other similar purposes provided for by the constituent documents (for example, for the creation of new property). Consumption funds include funds directed (reserved) for the implementation of measures for social development (except for capital investments) and material incentives for the staff of the organization and other similar activities and works that do not lead to the formation of new property of the organization.

The next component of the company's equity capital is retained earnings. It characterizes the part of the enterprise's profit received in the previous period and not used for consumption by the owners (shareholders, shareholders) and staff.

retained earnings calculated as the difference between those identified on the basis of accounting for all operations of the organization and the assessment of balance sheet items financial result behind reporting period and the amount of taxes due and other similar mandatory payments, paid in accordance with the legislation of the Russian Federation, from profit after tax, including sanctions for violations (including settlements with state off-budget funds).

This part of the profit is intended for capitalization, i.e. for reinvestment in the development of production. According to its economic content, it is one of the forms of the reserve of the enterprise's own financial resources, which ensure its production development in the coming period.

Owners can annually withdraw assets from the enterprise in an amount equal to the amount earned by them for the year net profit. However, if the owners of the enterprise consider it more profitable for themselves to give up their current income in favor of an even greater increase in the company's own capital in the future, then they can leave the amount of net profit due to them to the enterprise. In this case, they talk about the reinvestment of profits.

Thus, the amount of equity capital is one of the most important indicators financial stability and sustainability of any enterprise. First of all, it is the level of equity capital that is the criterion for assessing the investment attractiveness of an enterprise. In this regard, the problem of own capital management becomes fundamental in the activity of any business entity, which consists in striving to maximize its level.

Chapter 2. Finance of the enterprise and additionally attracted capital

2.1 Financial mechanism

Enterprise finance is a system monetary relations firms that arise in the process of its functioning and include a number of elements:

Relations with suppliers for the supply of raw materials, materials, fuel, etc.;

Relations with consumers on the sale of goods in accordance with the concluded agreements;

Relations with counterparties of the firm for the collection and payment of fines for violation of contractual obligations;

Relationship with banking system on obtaining and repaying loans, paying interest on them, on settlements for Banking services on opening and maintaining accounts, factoring and other operations of banks;

Relations with insurance organizations for insurance of commercial and financial risks;

Relationship with investment funds on the implementation of financial investments;

Relations with the staff of the company on the payment of wages;

Relations with shareholders on payment of dividends;

Relations with the founders on the formation of the authorized capital and the distribution of income;

Relations with the state on the payment of taxes and payments to the budget and extra-budgetary funds;

Relations with branches and representative offices, subsidiaries and affiliates;

Relations with audit, legal and consulting firms.

A distinctive feature of these relations is that they represent a set of cash receipts and payments.

The financial mechanism of an economic entity is based on the following principles:

Independence of economic activity;

Self-financing, i.e. expenses are carried out at the expense of income, a temporary lack of funds is replenished at the expense of borrowed sources financing;

Responsibility for Compliance loan agreements and settlement discipline, as well as other obligations arising in the course of production and economic activities;

Profitability of activities;

Material interest of the company's personnel in the results of work.

The financial mechanism is a system of influencing financial relations through financial leverage, using financial methods and consisting in organizing, planning and stimulating the use of financial resources. Thus, the elements of the financial mechanism are financial relations, financial leverage, financial methods, legal, regulatory and Information Support.

Financial relations are an object of management, arise in the process of production and economic activity of the organization and reflect cash flows enterprises related to investment, lending, taxation, etc.

Financial leverage is a method of influencing the activities of an enterprise. They include a set of indicators such as profit, income, dividends, price, depreciation deductions and so on.

Financial methods are methods of influencing the system, combining forecasting, financial planning, financial accounting, analysis, control, regulation, lending, taxation, and insurance.

The financial management system at the enterprise includes a control system (management subject) and a managed system (management object). Depending on the size of the enterprise, the organizational structure of financial management can be built in different ways. At large enterprises, as a rule, a special service is created, headed by a financial director. In small enterprises, the functions of financial management are performed by the chief accountant.

Legal support of financial management consists, on the one hand, in the formation tax legislation, in building legislative framework regulation of settlement and monetary relations, etc., on the other hand, in the development legislative framework order of drawing up financial reporting enterprises.

The purpose of financial management information support is to provide information necessary for making management decisions.

2.2 Borrowed capital and additionally raised funds

Borrowed capital used by the enterprise characterizes in aggregate the volume of its financial obligations (the total amount of debt). These financial obligations in modern economic practice are differentiated as follows.

Borrowed capital- this is a part of the capital used by an economic entity, which does not belong to him, but is attracted on the basis of banking, commercial loan or equity loan on a repayment basis.

Borrowed funds can be short-term and long-term.

Long-term financial obligations. These include all forms of borrowed capital functioning at the enterprise with a period of its use of more than one year. The main forms of these obligations are long-term loans banks and long-term borrowed funds (debt on tax credit; debt on issued bonds; repayable financial assistance debt, etc.) that have not yet matured or have not been repaid within the stipulated period.

Short-term financial liabilities include all forms of borrowed capital with a maturity of up to one year. The main forms of these obligations are short-term loans banks and short-term borrowings (both scheduled for repayment in the forthcoming period and not repaid at the due date), various forms accounts payable enterprises (for goods, works and services; for promissory notes issued, for advances received, for settlements with the budget and off-budget funds; for wages; with subsidiaries; with other creditors) and other short-term financial obligations.

A short-term creditor is usually a supplier (seller) of products and a holder of an enterprise bill. The timing of the provision of borrowed funds, as well as the cost of their attraction form the conditions for attracting borrowed funds. The forms of attracted borrowed funds are financial (bank and non-bank), commercial (in the form of prepayment, advance payment by buyers), commodity (in the form of a thing, with payment in installments) and other forms of lending. The main creditors are financial institutions and suppliers.

In conditions market economy no enterprise can and should do without borrowed funds, since their use helps to increase the efficiency of their own funds, to meet certain needs of the enterprise. Borrowed funds are financial leverage, which increases the profitability of the enterprise. The variety of these tools makes it possible to use them in various situations, mainly in the following cases:

In order to increase the profitability of own funds;

In case of insufficiency of own funds;

When forming a variable part of current assets;

When covering individual costs that are uneven in nature in certain periods of time;

As a source of investment, etc.

An enterprise in its activities can use the following types of borrowed funds:

Bank loans - long-term and short-term;

Loans of legal entities and individuals;

Commercial credit, which manifests itself when payment is deferred and means lending to someone by someone in goods, and not in money;

Factoring;

Forfaiting;

Borrowed funds as a source of working capital can be:

An additional source in case of lack of own funds;

Source of coverage of the non-permanent part of current assets;

Financial leverage that increases the profitability of own funds.

The use of borrowed funds with a temporary lack of own funds is quite natural for an enterprise. The use of borrowed funds as a source of coverage for the non-permanent part of current assets is explained by different behavior different types assets of an enterprise over a period of time, say a year.

With a relatively small increase in production during the year, the fixed assets and a permanent part of current assets. Their constant need and growth are determined by the work plans of the enterprise. Variable, i.e. additional, the need is determined by the current activities of the enterprise, when deviations from plans occur that cause this need. For example, irregular supply, late filing Vehicle, transition to the release of new products, the need to fulfill additional orders, etc. It is not advisable to cover this need at the expense of one's own funds, since there will almost always be either a surplus or a shortage of these funds in circulation. At the same time, credit successfully solves this problem, almost always following the need, as it has such qualities as flexibility, mobility, and elasticity. Increasing the profitability of own funds through the use of credit and thus the performance of the function of financial leverage due to the fact that the company uses in its turnover a smaller amount of own funds.

In addition to own and borrowed funds, borrowed funds are in the turnover of the enterprise. These are accounts payable of all kinds, as well as funds target financing prior to their intended use.

The obligations of the enterprise that arise in the course of its current activities constitute accounts payable, i.e. a set of financial obligations to creditors. In the activities of the enterprise, debts to counterparties - suppliers and contractors, employees of the enterprise, the budget, extra-budgetary social funds, subsidiaries, affiliates, on advances received, etc. First of all, accounts payable include debts that arise in settlements with suppliers.

The concepts of "borrowed funds" and "accounts payable" are close in meaning. At the same time, accounts payable formed in settlements with counterparties differ markedly from borrowed funds. Accounts payable should have objective limits and criteria. Her unjustified growth is unacceptable. The volume of accounts payable should be linked to financial position enterprises comparable to accounts receivable fit the size of the enterprise. If accounts payable exceeds receivables, then this can be considered a positive factor that increases the amount of funds attracted to the enterprise. Accounts payable management means the use by the enterprise of the forms, terms, and volumes of settlements with counterparties that are most acceptable to it. Accounts payable management is reduced to ensure that the latter, reducing the deficit of working capital, does not weaken the financial stability of the enterprise. Accounts payable management involves a selective approach to counterparties of the enterprise. Calculations with them should be constructed accordingly.

Accounts payable refers to unscheduled attracted sources of working capital formation. Its presence means the participation in the turnover of the enterprise of the funds of other enterprises and organizations. Part of the accounts payable is natural, as it follows from the current settlement procedure. Along with this, accounts payable may arise as a result of violation of payment discipline.

Enterprises may have accounts payable to suppliers for goods received, to contractors for work performed, tax office on taxes and payments, on deductions to off-budget funds.

It should also highlight other sources of financial formation, which include enterprise funds that are temporarily not used for their intended purpose.

Reserves for future expenses - in order to evenly include future expenses in production or distribution costs, an organization can create reserves for: upcoming payment of vacations to employees; payment of annual remuneration for years of service; payment of remuneration based on the results of work for the year; repair of fixed assets; production costs for preparatory work due to the seasonal nature of production; forthcoming costs for land reclamation and implementation of other environmental measures; forthcoming repair costs for items intended for rental under a rental agreement; warranty repair and warranty service; covering other foreseen expenses and other purposes stipulated by the legislation of the Russian Federation, regulations of the Ministry of Finance of the Russian Federation. IN balance sheet at the end of the reporting year, the balances of reserves transferred to the next year, determined on the basis of the rules established by the regulatory acts of the system, are reflected in a separate item regulation accounting.

reserve borrowed financial resource

Chapter 3. Management of the financial capital of the organization

3.1 Policies for the formation of own and borrowed funds

The basis for managing the financial capital of an enterprise is the management of the formation of its own financial resources. In order to ensure effective management of this process, the enterprise usually develops a special financial policy aimed at attracting its own financial resources from various sources in accordance with the needs of its development in the coming period.

The policy of formation of own financial resources is a part of the overall financial strategy of the enterprise, which consists in ensuring the necessary level of self-financing of its production development.

The main tasks of equity capital management are:

Determining the appropriate amount of equity capital;

An increase, if required, in the amount of equity capital from retained earnings or an additional issue of shares;

Determining the rational structure of newly issued shares;

Definition and implementation dividend policy.

The development of a policy for the formation of the enterprise's own financial resources is carried out in the following main stages:

1. Analysis of the formation of the company's own financial resources in the previous period. The purpose of this analysis is to identify the potential for the formation of its own financial resources and its compliance with the pace of development of the enterprise.

At the first stage of the analysis, the total volume of the formation of own financial resources, the correspondence of the growth rate of equity capital to the growth rate of assets and the volume of sales of the enterprise, the dynamics of the share own resources in the total volume of formation of financial resources in the preplanned period.

At the second stage of the analysis, the sources of the formation of own financial resources are considered. First of all, the ratio of external and internal sources of formation of own financial resources, as well as the cost of attracting own capital from various sources, is studied.

At the third stage of the analysis, the sufficiency of own financial resources formed at the enterprise in the preplanning period is assessed.

2. Determining the total need for own financial resources. This need is determined by the following formula:

Psfr \u003d (Pk * Usk) / 100 - SKn + Pr

where: Psfr - the total need for the enterprise's own financial resources in the planning period;

PC - the total need for capital at the end of the planning period;

Usk - the planned share of equity capital in its total amount;

SKn - the amount of equity at the beginning of the planning period;

Pr - the amount of profit allocated for consumption in the planning period.

The calculated total requirement covers required amount own financial resources generated from both internal and external sources.

3. Estimation of the cost of raising equity capital from various sources. Such an assessment is carried out in the context of the main elements of equity capital formed from internal and external sources.

The results of such an assessment serve as the basis for the development of management decisions regarding the choice of alternative sources for the formation of own financial resources that ensure the growth of the enterprise's own capital.

4. Ensuring the maximum volume of attracting own financial resources from internal sources. Before turning to external sources for the formation of one's own financial resources, all the possibilities of their formation from internal sources must be realized. Since the sum of net profit and depreciation deductions are even planned internal sources for the formation of the enterprise's own financial resources, it is first of all necessary to provide for the possibility of their growth due to various reserves in the process of planning these indicators.

5. Ensuring the necessary volume of attraction of own financial resources from external sources. The volume of attracting own financial resources from external sources is designed to provide that part of them that could not be formed from internal sources of financing. If the amount of own financial resources attracted from internal sources fully meets the total need for them in the planning period, then there is no need to attract these resources from external sources.

The need to attract own financial resources from external sources is proposed to be calculated using the following formula:

SFRvnesh \u003d Psfr - SFRvnut

where: SFRvnesh - the need to attract own financial resources from external sources;

Psfr - the total need for the enterprise's own financial resources in the planning period;

SFRint - the amount of own financial resources planned to be attracted from internal sources.

Ensuring the satisfaction of the need for own financial resources from external sources is planned by attracting additional share capital, additional issue of shares or other sources.

6. Optimization of the ratio of internal and external sources of formation of own financial resources.

This optimization process is based on the following criteria:

Ensuring the minimum total cost of attracting own financial resources. If the cost of attracting own financial resources from external sources significantly exceeds the planned cost of attracting borrowed funds, then such formation of own resources should be abandoned;

Ensuring the preservation of the management of the enterprise by its original founders. The growth of additional equity or share capital at the expense of third-party investors can lead to a loss of such control.

The effectiveness of the developed policy for the formation of own financial resources is assessed using the coefficient of self-financing of the development of the enterprise in the coming period. Its level should correspond to the goal.

The coefficient of self-financing of the enterprise development is calculated according to the following formula:

Ksf \u003d SFR / (D / A + PP)

where: Ksf - coefficient of self-financing of the future development of the enterprise;

SFR - the planned volume of formation of own financial resources;

D / A - the planned increase in the assets of the enterprise;

PP - the planned volume of consumption of net profit.

Successful implementation of the developed policy for the formation of own financial resources is associated with the solution of the following main tasks:

Ensuring the maximization of the formation of the profit of the enterprise, taking into account the acceptable level of financial risk;

Formation of an effective profit distribution policy (dividend policy) of the enterprise;

Formation and effective implementation of the policy of additional issue of shares (issuance policy) or attraction of additional share capital.

The basis for the formation of the enterprise's own internal financial resources directed to production development is the balance sheet profit, which characterizes one of the most important results of the enterprise's financial activity.

Balance sheet profit is the sum the following types company profits:

Profit from the sale of products (or operating profit);

Profit from the sale of property;

Profits from non-operating transactions.

Among these types, the main role belongs to operating profit, which currently accounts for 90-95% of the total amount. book profit. At many enterprises, it is the only source of formation of balance sheet profit. Therefore, the management of the formation of the profit of the enterprise is usually considered as a process of formation of operating profit (profit from the sale of products).

The borrowing policy is part of the overall financial strategy, which consists in providing the most effective forms and conditions for attracting borrowed capital from various sources in accordance with the needs of the enterprise.

There are two types of sources of replenishment of the enterprise's funds: external - through borrowing and issue of shares, and internal - through retained earnings.

There are four main types of external financing:

1. Closed subscription for shares (if it is carried out between former shareholders, then, as a rule, at a price lower than the market rate; in this case, the company has lost profits - the same expense).

2. Attracting borrowed funds in the form of a loan, loans, bond issues.

3. Open subscription for shares.

4. A combination of the first three methods. If the first option is unacceptable due to lack of funds from current shareholders or their avoidance of further funding, then the criterion for choosing between the second and third options is to minimize the risk of losing control over the enterprise.

External and internal views funding are closely interdependent. This does not mean, however, interchangeability. Thus, in no case should external debt financing replace the attraction and use of own funds. Only a sufficient amount of own funds can ensure the development of the enterprise and strengthen its independence, as well as indicate the intention of the shareholders to share the risks associated with the enterprise and thereby "feed" the trust of partners, suppliers, customers and creditors.

Points for and against various ways external financing are contained in table 2.

Table 2. Advantages and disadvantages of the main sources of external financing

Sources of financing

Closed subscription for shares	Control over the enterprise is not lost. financial risk increases slightly.	The amount of funding is limited. High cost of raising funds.
Debt financing	Control over the enterprise is not lost. Relatively low cost of funds raised.	The financial risk is increasing. The refund period is strictly defined.
Open subscription for shares	Financial risk does not increase. It is possible to mobilize large funds for an indefinite period.	Control over the enterprise may be lost. High cost of raising funds.
Combined method	The predominance of certain advantages or disadvantages, depending on the quantitative parameters of the emerging structure of sources of funds.

It is also necessary to determine the ratio of the amount of borrowed funds attracted on a short-term and long-term basis. The calculation of the need for short-term and long-term borrowings is based on the purpose of their use in the coming period. For a long-term period (more than 1 year), borrowed funds are attracted, as a rule, to expand the volume of own fixed assets and form the missing volume of investment resources (although with a conservative approach to asset financing, borrowed funds are attracted on a long-term basis to ensure the formation of working capital). For a short-term period, borrowed funds are attracted for all other purposes of their use.

The calculation of the required amount of borrowed funds within each period is carried out in the context of individual target areas of their future use. The purpose of these calculations is to establish the timing of the use of borrowed funds to optimize the ratio of their long-term and short-term types. In the process of these calculations, the full and average period of use of borrowed funds are determined.

The full term of use of borrowed funds is the period of time from the beginning of their receipt to the final repayment of the entire amount of the debt. It includes three time periods:

Term beneficial use- this is the period of time during which the enterprise directly uses the provided borrowed funds in its economic activities;

The grace period is the period of time from the end of the useful use of borrowed funds to the beginning of debt repayment. It serves as a reserve of time for the accumulation of the necessary financial resources;

Maturity is the period of time during which the principal and interest on the borrowed funds are paid in full. This indicator is used in cases where the payment of principal and interest is not carried out at a time after the expiration of the period of use of borrowed funds, but in installments during certain period time according to the schedule.

The calculation of the full period of use of borrowed funds is carried out in the context of the listed elements based on the purposes of use and the practice of establishing grace period and repayment period.

The average maturity of borrowings is the average billing period during which they are in use in the enterprise.

It is determined by the formula:

CVz = (SPz/2) + LP + (PP/2)

where: ССЗ - the average period of use of borrowed funds;

SDR - useful life of borrowed funds;

LP - grace period;

PP - maturity date.

The average period of use of borrowed funds is determined for each target area of attracting these funds, according to the volume of their attraction on a short- and long-term basis; on the attracted amount of borrowed funds in general.

3.2 Policy on the use of financial resources of the organization

When forming the structure of financial sources, enterprises use some general rules, which are formulated in the so-called Myers action sequence theory:

1. Companies prefer financing from their own resources.

2. Companies link dividend payouts to investment opportunities.

3. If the volume of own resources is insufficient for investment, the company first reduces its portfolio of financial assets.

4. If you have to resort to external financing, the company first issues the safest securities, i.e. bonds, then hybrid securities, such as convertible bonds, and only then issues shares.

In the real economy, companies do finance investment projects primarily through the issuance of bonds, long-term loans, and their own funds. New share issues play a relatively minor role and are rarely used to raise capital.

Debt financing, including the issuance of securities, is used by enterprises when expanding production if it is profitable and if credit risks low.

Large corporations usually have an equity to debt ratio. The larger the share of own funds, the higher the ratio financial independence. With an increase in the share of borrowed capital, the probability of bankruptcy of the organization increases, which forces creditors to increase interest rates for loans by increasing credit risks.

But at the same time, enterprises with a high share of borrowed funds have certain advantages over enterprises with a high share of equity in assets, since, having the same amount of profit, they have a higher return on equity.

Let's look at this with an example:

Suppose there are two enterprises, one of which (A) has equity - 100 million rubles. and does not use borrowed funds (which is practically impossible, since every enterprise has accounts payable); the second enterprise (B) has 50 million rubles. own and 50 million rubles. loan capital. Economic indicators enterprises are presented in the table.

Table 3

Calculation of the net profitability of own funds (in million rubles)

Index

Total capital, including: own
2. Sales proceeds
3. Production cost, where the financial costs of borrowing at rates for enterprise B
4. Gross profit
5. Income tax at a rate (24%)
6. Net profit
7. Net return on equity (6:1,%)

As can be seen from table 3, the net return on equity of enterprise B is 3.8% higher than that of enterprise A at a rate of 15% and by 7.6% at a rate of 10%.

This effect, which arises in connection with the appearance of borrowed funds in the amount of used capital and allows the enterprise to receive additional profit on equity, is called the effect of financial leverage. This effect is higher, the lower the cost of borrowed funds ( interest rate on loans), and the higher the income tax rate.

The effect of financial leverage (EFF) is to increase the return on equity ratio and is calculated using the following formula:

Нп - income tax rate;

Ra - economic profitability assets (%);

rd - average interest rate on loans;

D - book value of debt obligations;

Кс - book value of own capital.

If the interest rate on loans is higher than the return on equity, then the EGF will be negative, i.e., an increase in borrowed funds in the capital structure brings the enterprise closer to bankruptcy.

Conclusion

IN term paper it was revealed that the financial capital of the enterprise is cash and equivalent funds used to finance the activities of the enterprise. They differ from tangible, intangible and labor resources.

Despite the heterogeneity of the composition, the level of liquidity of financial resources is maximum and higher than that of material resources. Only financial resources can be converted into any other kind of resources. Depending on the sources of formation, the finances of an enterprise can be divided into own, borrowed and borrowed funds. Sources of finance, like finance itself, can also be own, borrowed, attracted.

If internal sources are sufficient to form their own financial resources, then external sources are not attracted. The sources of financial resources can also include such a form of accounts payable as stable liabilities, i.e. enterprises constantly in circulation, equated to their own, but not belonging to it working capital. Sources of financial resources are financial aid from the physical and legal entities, state subsidies and subsidies, grants, etc.