What are Merchant Bankers?

| Monday, December 31, 2012
By Alvin Parks


Out of the many financial institutions that provide capital to large and small business enterprises, merchant bank is one of them. Services that a merchant banker renders are underwriting of shares, portfolio management, project counseling and insurance. There are many other services that they render. When there is a need for businesses to raise long term funds, merchant bankers are there to help them.

Merchant bankers also give their expert counsel whether a project has technical, commercial and financial viability. They also conduct management of issues for companies. They market corporate securities of the companies. The prospectus is also prepared by merchant bankers. Filing of the prospectus with the Registrar of Companies is also one of the jobs of merchant bankers.

These professionals also provide advisory services on corporate matters. The services provided by merchant bankers can benefit emerging and mid-size companies too. Merchant bankers can help you get the sufficient funds you need to run a business and your dreams no longer remain needs. The financial services that merchant bankers provide help businesses to achieve their short term and long term goals.

A big hurdle in the smooth progress of operation of businesses is the inadequacy of funds and similar challenges and merchant banking provides them with cutting edge solutions. To thrive in a highly competitive marketplace, proper financial guidance can be given to you through this service. Modern businesses have the necessity to have business banking services to get exclusive advice and for other services and support that they need. More importantly they need loans, credit, savings and checking accounts. Special division of a bank deals with such matters.

For running and growing your business, you need to have business finance. You need to have start-up finance so that you can have necessary funds to get your business up and going. It is also an easy and quick method to get money for your business. All other activities that a corporate enterprise needs to carry out can be funded through business finance provided by financial institutions.

Lenders give business loans to provide the capital that a business needs to open a business or finance capital improvements. It can be some individual or a financial institution who can be the lender. Banks provide most of the business loans these days. Through the funds that merchant banks provide in many ways businesses can now realize their dreams of expanding their operations and for all the other activities that they want to carry out.




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