External Funding

External Funding

Funding that a company raises from any source other than itself. Two common types of external funding are bond and stock issues. A company seeks out external funds when it wishes to expand its operations or other activities, but lacks the cash flow to do it independently. Providers of external funds almost always expect to receive something in return; for example, bondholders expect interest and principle repayment, while stockholders expect to receive a portion of the ownership of the company.
References in periodicals archive ?
0m in external funding for a component of its pipeline project
Summary: Recent developments might result in an outflow of external funding for Qatari banks over the next few months
We believe the recent developments might result in an outflow of external funding for Qatari banks over the next few months, depending on how the situation evolves," said S&P Global Ratings credit analyst Mohammad Damak.
The apex bank said that reducing the reliance of the domestic banking sector on external funding and preventing its further increase is very important.
Bangladesh Bank Governor Atiur Rahman has asked global banks to help his country raise longer-term external funding for corporate houses and develop the local bond market.
The rating agency said in a statement that the new government's reform efforts will lead to external funding support.
Etisalat, which is competing with Qatar's Ooredoo for the stake, said that shareholders had "approved the Board's recommendation to raise external funding in excess of the corporation's capital as per the Articles of Association of the Corporation".
Figures from invoice finance specialist Bibby Financial Services showed that 70% of small and medium-sized enterprises have not applied for external funding over the past 12 months.
In recent years, prominence has been placed on academicians to secure external funding for their research and training projects.
Tunisian projects currently seeking external funding number 102, including 50 mega projects.
THE number of Welsh SMEs investing in the development of their businesses by seeking external funding has increased by 41% over the past 12 months.
The city council also said it is trying to claw back tens of thousands of pounds of external funding which is being held by Waygood.