Cost of Capital and IRR, Explained!

When you take a loan, you pay an EMI for the loan at a specific rate of interest, which is the bank's rate of return. Similarly, when you invest in a home and lease it to a tenant, the returns you get are the monthly rent and the final underlying asset value. So, each investment …

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Why shouldn’t companies use equity for working capital requirements?

Companies requiring funds can categorize all their requirements essentially into two buckets, debt financing and equity financing. Typically, debt financing involves borrowing funds from a bank or from the general public by issuing bonds. Equity financing includes selling shares of stock or taking on additional owners. The one common mistake entrepreneurs make is thinking that these …

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Tata Steel trying to regain its corporate equity

Over the last decade, Tata Steel has lost its equity within the Tata Group of companies. There was a time when every engineer in India used to aspire to work for Tata Steel. Tata Steel was once the dominant company among the Tata Group, but in the last decade it was overshadowed by Tata Consultancy …

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Problems because of mother brand endorsement

Mouthwash was relatively a new category and it was primarily driven by Medical Shops channel, as the consumers generally used to use Mouthwash only when prescribed by the dentists for some medical conditions. Colgate being a pioneer of the oral category, had the challenge to create consumer pull to this category and the brand. Colgate …

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10 commandments of successful investing

Let me unveil the 10 commandments of successful investing today. These commandments strictly followed can make you a successful investor; make you richer. The successful legendary investors like Benjamin graham, warren buffet have followed these principles. So why not you…? 1) Decide your investment strategy and stick to it: An investor may invest in SIP …

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