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Banking

Fundit: Know what kind of funding you want

As a business-minded person seeking funding or investment for your business, it is also prudent to know the kind of funding you want for the business.

Are you looking for a loan/debt or equity funding? Loan/debt is money borrowed to fund your business, it comes at a cost, and you would have to pay back over a specified period of time with interest.

Equity on the hand funds your business but you don't pay back, however you would have to give a percentage of the business to the investor.

Hence, you need to choose wisely based on which of the two you want for your business.

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DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.