What is Merchant Banking?
Merchant banking refers to the combination of consultancy and banking services. It works by providing consultancy services to a wide range of clients for marketing, managerial, financial and legal purposes. Merchant banking performs a lot of functions including helping a businessman in starting his own business, raising or collecting finance, expanding and modernizing his business, restructuring business, reviving business units that are problematic and helping different companies in buying, registering and selling shares at stock exchange. A merchant bank which offers the merchant banking services can also be defined as an investment bank which works in handling the financing for corporations and for selected wealthy individuals. This bank hands over its own funds in order to act as creditor for a business entity or get an equity interest in other entities. The bank also works in providing financing for corporate merger, acquisition and leveraged buyout.
One of the major functions of merchant banking is stock underwriting. Large business organizations that aim to start raising money for an IPO (initial public offering) from the investors in the stock market can get the services of a merchant bank as a means of implementing and underwriting the entire process. Merchant banking also performs other essential functions including raising finance for their clients, acting as brokers in the stock exchange, managing projects, providing relevant advises on modernization and expansion, managing all public issues related to running a company, providing special assistance to new entrepreneurs and small companies, providing services to business units in the public sector, portfolio management, restructuring of corporation, money market operation and providing leasing services.
Brainmeasures Merchant Banking Certification Program
If you are one of the many people who are aiming to understand all the procedures involved in providing merchant banking services, then the merchant banking certification program which is now available at Brainmeasures is right for you. Brainmeasures is a popular and the leading company which offers reliable online certification courses and employee testing to anyone who is interested. It offers many online certification courses including the merchant banking course. This specific banking course from Brainmeasures can offer you the most relevant, updated and informative merchant banking training so expect to come out as a real expert in the industry after this. The certification course will also give you a glimpse of the finance and accounting aspects of an organization as well as a more comprehensive view of the major functions of merchant banking. To determine if you are worthy to receive your certification in this field, Brainmeasures will assess your skills and knowledge through the merchant banking exam included in the merchant banking certification program that it offers.
Highlights of the Merchant Banking Certification Program from Brainmeasures
Merchant banking is quite a complex process but this has now been simplified with the help of the professionally and well-developed merchant banking certification program from Brainmeasures. The following topics form a huge part of the Brainmeasures merchant banking certification program:
- Introduction to merchant banking: its history, scope and nature
- Services that are usually provided by legitimate merchant banks
- Certain regulations followed by merchant banks when carrying out their activities
- Major objectives and responsibilities of a merchant banker
- Assessing the feasibility of a project
- Different stages of a project
- Financial analysis through liquidity ratio, debt utilization ratio, quick or acid test ratio, debt equity ratio, debt coverage ratio and fixed assets coverage ratio
- Nature of securities and their different kinds
- Essential features of debentures
- Guidelines followed in the issuance of debentures
- Major obligations of a lead merchant
- Appointing a compliance officer
- Basics of underwriting
- Understanding the company’s capital structure
- Guidelines used in the initial public offering using stock exchange online system
- Guidelines used in the issuance of debt instruments
- Guidelines followed in the capital issuance made by designated financial institutions
- Procedures involved in appointing principal brokers
- Maintaining accurate financial books and records
- Calculating net asset value assessment
- Requirements set by stock exchanges when it comes to listing
Beneficiaries of the Merchant Banking Certification Program
Brainmeasures merchant banking certification program can admit anyone because it is offered to the public without setting any requirements, standards and qualifications. But note that there are certain individuals, entities and professionals who can gain more benefits from enrolling in the merchant banking certification course. These include merchant banks, investment banks, retail banks, private banks, insurance companies, building societies and any other financial institutions, finance directors, chief risk officers and management heads of market risk and control, operational risk, strategic planning and forecasting, economic capital and capital adequacy, audit and compliance, enterprise risk management, business continuity, operational risk and market risk and control.
Job Opportunities after Completing a Merchant Banking Certification Course
Merchant banking certification holders can expect to flourish in the employment industry because of the many jobs that they can efficiently handle. The following jobs can work perfectly for professionals who have already received their merchant banking certification:
- Merchant Banking and Real Estate Manager
- Merchant Account Executive
- Business Banking Relationship Manager
- Check and Merchant Services Specialist
- Merchant Trader
- Merchant Banking Analyst
Expected Salary for Merchant Banking Certification Holders
A dramatic increase in your annual income is also possible after you successfully completed your merchant banking certification course and practice your career in this field. Merchant banking certification holders can earn around $63,000 to $135,000. If you continue to prove that you are a real expert in the field, then expect your employers to reward you with a higher salary after some time.