Corporate Finance Explained

The main role of a corporate finance is to advise companies, institutions and governments on how to achieve their goals and help them to implement their plans as decided upon. In other words, Corporate Finance is part of the Chief Executive's Directorate, and supports the Council in delivering corporate objectives within the context of the Council's vision. This often means raising money on the capital markets i.e., through banks or shares or by borrowing money.

The work typically involves structuring and negotiating the detailed terms of a deal, after which execution is carried out often in liaison with other professionals. It may also involve work like writing presentations, researching and profiling potential buyers or targets, valuing companies, and helping to write public documents and announcements.

Apart from this, the corporate finance also performs duties like: advising on how to raise capital for new projects and expansion purposes; liaising with regulatory bodies and knowing the relevant market place and strategy; dealing directly with chief executives, directors and entrepreneurs; forming close board-level relationships with clients; developing and presenting appropriate financial and structural solutions to clients; carrying out financial modelling; gathering information and undertaking detailed data analysis and valuation; producing detailed prospectuses; negotiating and running transactions; co-ordinating teams of professionals such as accountants and lawyers; assessing commercial risks and likely returns; and identifying and securing deals with new clients.