Freitag, 31. Juli 2020

57) companies, loans, bankers, investors, debtors
Written by Rainer: rainer.lehrer@yahoo.com
Learn languages (via Skype): Rainer: + 36 20 549 52 97 or + 36 20 334 79 74
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Companies, loans, bankers, investors, debtors

An entrepreneur A has a good idea and wants to put it into practice. His problem is lack of capital. Another B collects money from a few people C, promises them X% interest, passes the money on to entrepreneur A with X + Y% interest. From a simplified point of view, this is how every banking business works if A wants to remain the only owner of his idea. Another option is the stock exchange, in which bonds are issued. In this way the role of the banker is bypassed. Dividends are paid out annually, which is generally a bit higher than the interest rate in a bank. If A goes bankrupt, the bank loses its money. If the bank lends its money to many such people, it goes bankrupt and people C lose their money.
Fundamentally, financial institutions or other ways of lending or acquiring capital are of vital significance to every economy. When we consider other options, these are so-called usury in addition to the legalized banks. All of these help ideas, inventions and capital to find each other.
There are different types of companies in modern business law. These are divided according to the degree or type of participation (money, ideas, real estate, means of work, equipment, machinery) of different parties in a company. These types of companies are primarily concerned with how profits or losses are distributed, or who should be held responsible in the case of bankruptcy.
The problem begins when the loss or responsibility exceeds the company's capital. Here, creditors lose their money. Fraud is possible if incorrect or insufficient information is given, or if different positions of bankers, investors and / or debtors are combined.
It is a miracle that so much has been created despite so much fraud. This shows that the whole system has to work somehow.


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