put questions to 180000 lawyers answer online
home page > Legal topics > Special Topics in Finance and Insurance > Bank disputes > Equity financing risk

Equity financing risk

 Equity financing risk
With the rise of online shopping platforms, many people have opened online banking and mobile banking for the convenience of shopping. These two have brought many conveniences to people, but at the same time, they have also brought many troubles. The hackers on the network are skilled, and the parties accidentally leak their bank passwords, leading to the theft of deposits. Therefore, consumers must confirm whether the payment is safe, and do not click foreign links at will. After the bank card is stolen and swiped, it is necessary to take measures at the first time to retain the corresponding evidence, and then it is possible to require the bank to assume responsibility.
2024-02-19 04:12:00 Helped 1961 people

Selected lawyers· Explain examples

Help friends consult about the risks of equity financing
For the funds obtained from equity financing, the enterprise does not need to repay the principal and interest, but the new shareholders will share the profits and growth of the enterprise with the old shareholders. Chinese name Equity financing Foreign name Equity fNCE Type debt financing And equity financing channels. The characteristics of public market offering and private offering are long-term, irreversible and non burdensome. There are two types of financing methods for enterprises, debt financing and equity financing. The so-called equity financing means that the shareholders of an enterprise are willing to give up part of the ownership of the enterprise and introduce new shareholders through the way of capital increase. For the funds obtained from equity financing, the enterprise does not need to repay the principal and interest, but the new shareholders will share the profits and growth of the enterprise with the old shareholders. The characteristics of equity financing determine the universality of its use, which can not only enrich the working capital of enterprises, but also be used for investment activities of enterprises; Debt financing refers to the financing of enterprises by borrowing money. For the funds obtained from debt financing, enterprises should first bear the interest of the funds, and in addition, after the loan matures, they should pay creditor Repayment of capital. The characteristics of debt financing determine that its purpose is mainly to solve the problem of working capital shortage of enterprises, rather than to spend under capital. In order to standardize equity financing activities through the Internet, the CSRC has decided to conduct a special inspection on equity financing platforms in the near future, including but not limited to those platforms that carry out equity financing activities in the name of "private equity crowdfunding", "equity crowdfunding" and "crowdfunding". The purpose of the inspection is to find out the base number of the equity financing platform, find and correct illegal acts, identify potential risks and hidden dangers, guide the equity financing platform to clearly position itself around the market demand, and effectively play its role in serving the real economy. [1] Equity financing characteristics The funds raised by long-term equity financing are permanent and do not need to be returned. Irreversible enterprises do not have to repay the principal when they use equity financing. Investors need to use the circulation market to recover the principal. Non burdensome equity financing has no fixed dividend burden, and the payment of dividends depends on the operating needs of the company. Financing channel Equity financing is divided into two categories according to financing channels: first, public market offering. The so-called public market offering is to raise funds by issuing shares of enterprises to public investors through the stock market, including the listing of enterprises, the additional issuance and allotment of shares of listed enterprises, which are all specific forms of equity financing using the public market. Second, private placement. The so-called private offering refers to the financing method in which enterprises seek specific investors to attract them to invest in enterprises through capital increase. Because most stock markets have certain requirements for enterprises applying for issuing shares, for example, the Administrative Measures for Initial Public Offering and Listing requires that the total capital stock of companies before listing should not be less than 30 million yuan [2], it is difficult for most small and medium-sized enterprises to meet the threshold of listing, Private placement has become the main way for private SMEs to carry out equity financing.
See more
newest Hottest
whole
  • Be clear
    Fully describe the focus of dispute and specific issues
  • Be patient
    The lawyer is answering during the break, please wait patiently
  • Ingenious consultation
    Any questions? Timely ask the lawyer to reply
Online consultation