Answer – A

1. Assisting Clients In Fundraising

Arranging funds and providing various sources of raising fund is
one of the important functions played by the banks. It helps in
raising finance through taking bank loans, issue of securities like
shares, debentures, etc. It takes into account both national and
international market for fundraising and helps the businesses in
their expansion and modernization plan.

2. Acting As The Stock Exchange Broker

Providing services as the stock exchange broker is also one of
the functions played by the banks. Buying and selling securities
for their customers comes under their duties. They perform
complete detailed research on the different securities in the
market and guides their clients in which to invest for better
growth and profitability.

3. Helps In The Management Of The Project

Merchant bankers through their specialized services help their
client in full management of their project. They perform
functions like finding the best location and suggesting it to their
clients, doing and arranging for detailed study for the project,
thinking and coming up with best financing plans for project
financing and keeping in touch with the latest beneficial
schemes of the government to its clients.

4. Helps In Up-Gradation And Expansion Of The Business

Taking a decision regarding the expansion of business
operations at the right time is beneficial for a profitable venture.
On the other hand, it, if not taken at a proper time, may lead to
 losses. Therefore, merchant bankers conduct a complete survey
of the market and provide expert advice like the expansion of
business, takeovers, and acquisitions, upgradation, involving in
joint ventures, etc.

5. Helps The Small And Sick Companies For Their Revival

There are many organisations who are not able to work or
progress efficiently because they are lacking somewhere of
opportunities or don’t have full relevant information. Banks help
these organizations to grow by updating them with new
opportunities, arranging a proper finance option and also
assisting them in their management and legal matters.