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Showing posts from June, 2016

Planning To Seek Venture Capital?

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If you are an owner of a start-up company then venture capital can be of great help to you. Venture capital is basically financing that investors provide to small business and start-up companies who they think have the potential of growth in the long run. So, if you see that your start up is growing want more money for investment, seeking venture capital could be a good decision for you. But there are a few things that you should know before seeking venture capital.    First is that since the investment companies or the venture capitalists are investing their money, they will have a say in all the major decisions of the company. Besides this, you should also know that it is not very easy to convince venture capitalists to invest in your business. Since they will put in millions of dollars in your business, they also expect good return on the capital (multiple numbers). For this, they will do their study before making the final decision. It has been seen that venture capitalist

Things Every Real Estate Investor Must Know

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Real estate investments are a great way to diversify ones portfolio. They are advantageous in many perspectives, tax perspective being one of them. If you also wish to invest in real estate, there are a few things you should keep in mind. Doing a full market study before investing is very important. Those who are regularly involved in real estate know the business very well. But for those who are new to it, knowing everything about it can be a daunting task. So here are a few things that everyone who wish to enter the real estate business must know.  The first and the most important thing to do is to study the local market trends and pricing in the area you wish to invest. For example, you should look for places where the price of property is accelerating at a faster rate. Check if the home price is more or less compared to the price in the neighbouring areas. This will give you a fair idea of places which are more in demand. Another benefit of studying the market trends is

All About Private Equity

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Equity capital not listed on a public exchange is called private equity and has investors and funds investing with private companies directly. Those that invest in public companies, do so in order to delist the equity. Retail and institutional investors are the majority investors present on the field as they have the ability to commit huge sums for longer periods, required to initiate a turnaround of a distressed company or an even of liquidity. Since 1970’s, PE’s have increased steadily in both size and significance. Often they pool their funds in order to make large public entities private. To fund very large buyouts, a large fund is issued through leveraged buyouts. They then attempt to improve the financial health of the company to be able to sell it again at a later stage. So what do the PE investors actually do? Raise Money- As discussed above, this forms an essential part of Private Equity Investment in India . The job includes looking for capital commitments from extern

Why is Real Estate Private Equity an Attractive Prospect

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Private equity real estate funding involves pooling of investors’ money to increase their buying power. The funds then go into tangible assets like property, to make them more viable and increase their value. An exit strategy is planned, so that the investors can gain maximum profit from the asset they pooled their funds into. Private equity funds in India in the sphere of real estate approaches property ownership in a broad manner.  Partners are seen to invest in numerous types of property over different areas and locations. Strategies of ownership include raw land holdings or new developmental projects; however they also undertake total and complete redevelopment of existing properties or investments into those property ventures, which are struggling. As far as the share of funds pooled in is concerned, PE funding is not rigid in the sense that funds can be either traditional or they can be asymmetric. Traditional funding involves all the investors investing

What is Private Equity Funding?

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When it comes to investment, the general public is largely only aware of the traditional asset class, which includes stocks, bonds, shares and such, and are available for public purchase. The amount of these shares is such that, any common person if they can afford it can buy a certain percentage of stocks. Where the traditional asset class is open for the public, the alternative asset class is majorly reserved for those who have large capital to provide and are not afraid to take risks. Private equity in that regards, is perhaps the most popular area of investment in today’s time. The alternative asset class is made of up of area that might be high in risk, but generate large returns too. Thus areas like the Indian real estate , commodities like gold, art, wine and such, that can be easily sold away and whose prices remain at a stable high price. Private equity is a big part of the alternative asset class is a collective scheme for investment done using equity securities in order to