February 2012
Beginner
672 pages
17h 47m
English
book
Entrepreneurship Lessons for Success (Collection)
by Edward D. Hess Bruce Barringer Charles F. Goetz, R. Duane Ireland, Wes Moss
Content preview from Entrepreneurship Lessons for Success (Collection)
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Truth 24. Debt financing
About 48 percent of businesses use some form of debt financing during their initial year of operation. The sources most frequently used are personal credit card debt (30.2 percent), personal bank loans (18 percent), business credit card debt (14.6 percent), and loans from friends and family (10.1 percent).[1] Note that the majority of debt financing is not in the form of a bank loan. Instead, business owners rely on more personal sources of debt financing to supplement their start-up needs.
The majority of debt financing is not in the form of a bank loan. Instead, business owners must rely on more personal sources of debt financing to supplement their start-up needs.
There are two major advantages to debt financing ...
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