Corporate finance deals with the administration and financial operations of a company. Some companies have a corporate finance office and employ financial professionals to manage the company’s financial operations. The fundamentals of corporate finance include engaging investment bankers, determining the value of a company or its stock, and mergers and financial activities. All of these components work individually and together to determine a company’s value. In addition, they determine its ability to borrow or raise money to continue growing the business.
Investment banking is one of the foundations of corporate finance. It primarily involves raising the cash needed to grow the business. For example, a company will likely go to an investment bank that will help the company raise capital. Such fundraising methods typically involve stocks, bonds, or stocks.