Write a short passage: “How to raise money” Ctlhn lun

Write a short passage: “How to raise money”
Ctlhn lun

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  1. Business owners can raise money from friends and family in two different ways: by selling them equity or by taking a loan from them. Entrepreneurs that take a loan typically must make regular payments with interest until they repay the loan. Business owners that sell equity won’t make monthly payments, similar to putting personal money into a business, however, the equity entitles investors to a share of profits and ownership.

    Developing a business plan and determining how much money a business needs is the first important step that would-be borrowers can take to reassure their friends and family that their business is a good investment. Friends and family like to understand the business, its progress, and how their investment will push the business to its goals. Regardless of the investment, it’s important to keep personal and business finances separate

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