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In an enterprise the times of the capital deposit (sales profits) and capital disbursement (investments) fall apart. Therefore the financing is necessary. Around the financing need to convert a multiplicity of financing instruments was developed. These can be differentiated in principle with respect to new financing and Umfinanzierungsinstrumente. With new financing instruments to position with respect to the balance in passive one, active one and balance-neutral are differentiated. A further distinction criterion is the period for that the financing is

New financing

Passive financing instruments

Passive financing instruments change the passive side of the balance and lead regularly to a balance extension. To this category the most important financing instruments belong. Passive financing instruments are differentiated on the one hand according to Kapitalherrkunft on the other hand according to the owner position.

Capital origin
External financing Internal financing Capital owner Financial participation e.g. insert e.g. profits, writing-off Outside capital e.g. loan, loan e.g. resetting Not all instruments can be divided clearly into this pattern. For these the designation became generally accepted Mezzanine capital.

Active financing elements

Active financing elements change the assets side of the balance by regrouping. Examples of active financing are:

  • Factoring
  • Forfaitierung
  • Documentation by a document

Balance-neutral financing elements

Balance-neutral financing elements do not have influence on the balance with their application. The most important balance-neutral financing element is the leasing.

Umfinanzierung

Contrary to the new financing serves the Umfinanzierung of the change existing financing concept. Important measures of the Umfinanzierung are:

  • Prolongation, an existing financing is extended
  • Substitution, an existing financing is replaced by another
  • Transformation, an existing financing is converted into another

Fristigkeit

Financing elements distinctive according to their Fristigkeit in:

  • short term financing elements those the capital requirement upto max. 1 year cover
  • medium-term financing elements those the capital requirement up to 5 years cover
  • long-term financing elements those the capital requirement over 5 years cover

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