Financing is the provision of financing, lending, or the provision of resources to support the process of implementing a business project. The financing process involves both the giver and the receiver or the borrower.
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Therefore, in practice, the term “financing” refers to the provision and receipt of money or funds to support the operation of a business project.
According to modern concepts, the term “financing” has two types: equity financing and debt financing. Ownership financing refers to the mobilization of financial resources through the issuance and sale of equity securities, such as securities, stocks, and so on.
Debt financing refers to the mobilization of financial resources through the publication and sale of debt securities, such as bonds and other liabilities in the financial or capital markets.