What is Capital Structure? Why it matters? And How to Optimize it?

what is capital structure?

Capital structure refers to the combination of different sources of funding that a company utilizes to finance its operations and investments. It represents the proportionate mix of debt and equity that a company employs to meet its financial needs. Understanding Capital Structure Imagine a business in its nascent stages, a budding seed yearning for sunlight … Read more

Cost of Capital: Types, Component, Formula, Impact, & Importance

cost of capital

The cost of capital is the minimum return that a company or an investor expects to earn on their investment to compensate for the risk involved. It represents the cost of funds used to finance a business or a project and is expressed as a percentage.