Augusta
VIP Contributor
When it comes to financing your business it might be of help to adopt equity financing. it will help with the smooth running of the business. So the below reasons should point you to adopting equity financingA new business
You should use equity financing if your Business is in their early stage Some investors would want to invest if you would allow them have some shares of the company. This become easy when they noticed high return potential and high return on investment
No loans from financial institution
A business would adopt equity financing if lending Sources isn't willing to obliged the business with funding.
So Equity financing is the answer when other lending methods of financing aren't available because of the nature of the business. Again, the business owner might be denied due to lack of business experience and maybe unproven business concept.
Not wanting debt
With equity funding you won't have to Incur Debt. You are just selling out the business shares and sharing ownership so they will be no debt incurred. you wouldn't be adding any existing debt and ofcourse no payment obligation too
For expert guidance
With Equity financing,You Get guidance From experts as the investors are always professionals that see a potential in a business. So you would get more than financing .
