Difference between revisions of "Debt financing"
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(Replaced content with "Debt financing Category:mbi") Tag: Replaced |
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| − | Debt | + | What Does Debt Financing Mean? |
| + | When a firm raises money for working capital or capital expenditures by selling bonds, bills, or notes to individual and/or institutional investors. In return for lending the money, the individuals or institutions become creditors and receive a promise that the principal and interest on the debt will be repaid. | ||
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Latest revision as of 19:54, 27 August 2020
What Does Debt Financing Mean? When a firm raises money for working capital or capital expenditures by selling bonds, bills, or notes to individual and/or institutional investors. In return for lending the money, the individuals or institutions become creditors and receive a promise that the principal and interest on the debt will be repaid.