William Gates III.

Warren Buffet.

Carlos Slim Helu.

Ingvar Kamprad.

Lakshmi Mittal.

They are just five among the 793 recorded billionaires around the world, and they have a combined net worth of around $2.6 trillion, which is 18 percent up compared to the combined net worth of 476 recorded billionaires around the world in 2005. Their average individual average net worth is around $3.3 billion.

The increasing number of billionaires is due to the excellent performance of different stock markets around the world. In fact, India

Growth of their business is one thing that most investors want to happen during their tenure in the business industry. They want to see the operation of their business to grow and probably expand it to accommodate the needs of other potential clientele not just within the regional coverage but on the national or probably on the international coverage as well. Such growth in business operation alone already translates to huge revenues later on.

However, along with the sweet fruits of the growth of your operation, expect that you will incur additional expenditures resulting from such operation growth. You need to finance additional personnel who will handle the expanded operation as well as additional raw materials from your suppliers. In other words, once the growth is seen within the business operation, there is a need for you to sustain such growth by assuring that all additional expenditures will be met along the way.

Thus, you need additional funding to sustain your growing company. Additional capital must be raised to finance the expansion of business operation.

What will you do? Ask your financial advisers or even market experts, and they will just spell three significant words to you.

INITIAL PUBLIC OFFERING.

Also known as IPO, initial public offering is referred to as the first sale or issuance of a company

Google, the search engine giant.

Rosneft, Ireland

In business, profits always come with costs.

For instance, if you own a homemade ham business, you need to spend for the raw materials (raw meat, different spices, and packaging) and for the marketing of your homemade ham (renting a stall in the meat section of a market) before you will be able to receive your profits out of the products that you have sold. In other words, if you will not spend initially on something, there is no chance that you will generate any profits later on.

In business, costs are defined as the amount of money that you need to use to acquire something. Whether you have homemade ham business or trading foreign currencies for a profit, you need to spend some amount of money to acquire or produce a particular product and later sell it on a price which will yield to profit. That is what is referred by most investors as the cost.

What are the common expenditures that every company must address? These are, but not limited to, the following: