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Growth Company

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Growth Company
A company performing better, or expected to perform better, than its industry or the market as a whole. Companies generating a return on equity of greater than 15% are generally classified as growth companies, but not all growth companies are classified as such. These companies usually pay little to nothing in dividends as the companies reinvest most of their earnings. Some believe that many or most growth companies are overvalued, citing, for example, the large number of growth companies during the dotcom bubble. See also: Industry life cycle.


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For growth company management teams, a strong private equity partner can help ensure that their company not only is "IPO ready" in a much more complex environment, but also has a well-articulated growth strategy, a solid business plan, robust internal control systems, and a fully developed organization.
However, rather than examine how business profitability has been hit by the downturn, Marketscan decided to focus the latest of its geographical analyses on growth company change, in terms of revenue growth.
Growth Company Services "is an initiative that spans all of our service lines," Alber explained.
 
 
 
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