Long term finance

Introduction: -
Long term finance and it fields.
In today context we can’t hope our life without our corporate world. And as its mention earlier the long term finance what it is .we will let a light on its definition first. What is
Long term finance it means the long time financial facility or the loan that we have to
Repay after a long period of time means we have a time of more then one year to re
Pay it .and the money we repay less then one year that is called short term finance.

Now we will discus why did company need the long term finance. Why the firm need
Finance for the operation and who are the firm that need for it and the firm that provide

Long term finance for.
In corporate world all firm need some financial help in recession period and all firm depend on market situation when market rise firm need finance for expending their business. And
During recession they need money for save their business. So we can say that long term finance is essential for long term business.

There are verius field that require finance for business. And there are different type of long
Term finance that company provided for its client these are:
1 project finance
2debt and working capital
3 long term rental or the houses.
1 project finance:- project finance are the finance that company provided for long term project. Such as for energy plant , infrastructure and technology. These firms provided such loan for company for their long term project and support them financially for their work.

Debt and working capital:- this type of loan are given as a debt for company and beside it
The firm that lend the finance keep some of solo proportion ship with company. They keep some of the right from company for their risk what they held for the financing.

Long term rental loan:- that type of loan are given for the partnership of company
For example that loan are paid for such as by a new luxury apartment, for by a new sight
In this type of loan the company have to repay the loan in installment.

Source of long term financing:- there are few type of long term financing sources that a firm
Can take finance help these are
1debt
2 derivatives
3 equity

1 debt :- debt is defined as we owned money from other company it may be a financial firm
May be a company which run its business and provide loan for other company for support
Their business.
2 derivatives:- there are two type of derivative one is option and another is future derivatives
3equity :- equity is a part of loan that firm provide for its subsidiary or its co branding company with it the main firm take some of legal right of that company.
Now we talk about in Indian economy which are the firm that provide long term loan for
Copany. In India world bank is the largest co. who provide the long term loan for India
It has announced 4.3 billion dollar to India for improve Indian infrastructure. And in
Indian there are many firms like medi pharma drug house maghdev enterprises that provide
Long term loan for business as well as other level . and one of the most firm is RBI
That provide loan for govt. sector. In out five year planning there are many new plan for the
Indian firms to start their business and save them from unusual crisis. In G 20 meet our
Prime minister has focus on long term loan for our infrastructure. He said that we have need
To improve out nation and for that we need to take some planning for it we shout provide long term as well as short term loans for out business units we shout support them and for
Make recovery form crisis that should be out main agenda. We will work for it .

Conclusion:- in out corporate economy we depend on market situation which is flexible
So continue out business and make it safe from any disaster long term finance is the one
Of the best way to save out business from uncertainty. And as per out five year planning
Our prime minister has suggest many new plan for loaning for firms .