Long-term capital is secured by the sale of obligations such as bonds. Another portion of long-term capital is secured by the contribution of the owners when they buy stock. But in addition, there is the current working capital required to meet the non-coincidence of income and outgoing.
- Short-term borrowing. A banker is thought by many people to be a rather cold-blooded individual who is interested in nothing but the safety of his loan. In part, this is true, for it is his duty to safeguard the funds entrusted to him by others. A banker will also look, except in the case of an extremely large corporation, at the personnel and their personalities. He is interested in their characters, as to whether or not they are honest. He is interested, obviously, in health, for if people are not expected to live very much longer, they may not be particularly good risks. For this same reason he is interested in age. He is interested in training and natural talent of the applicants, which is an indication of their ability to run the business successfully. He is interested in their application; how hard do they work at their job? leia todo o artigo
