Using the Internet or Strayer databases, analyze two (2) sources of debt financing. Next, discuss which non-bank source you would use if you were creating a new company. Explain your rationale. Explain your rationale.
“Equity and Debt Financing” Please respond to the following:
- Using the Internet or Strayer databses, examine two (2) sources of outside equity capital available to entrepreneurs. Next, describe the source(s) you would use if you were creating a new company. Explain your rationale.
- Using the Internet or Strayer databses, analyze two (2) sources of debt financing. Next, discuss which non-bank source you would use if you were creating a new company. Explain your rationale.
2. Student Response – Finia
Hi Class and Professor:
Two outside source of equity available to entrepreneurs one would be friends and family first another would be a lending institution. The resources that I would use if I were starting my own company would be to ave some type of capital myself and then turn to friends and family if this is not enough then I would turn to a lending institution by doing this i am eliminating high interest rates. Debt financing can be from a number of resources but the non bank that I would prefer would be first using friends and relatives, because this can be a lower interest rate and I can be given a longer period of time to pay back I can also see if I could trade money for some other use with said family member like labor or shares in the business. One can also use a consumer finance companies or a commercial finance company if they were using the banking system.
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