Choose your side – debt or equity financing and get ready for battle! Aspiring entrepreneurs and business owners looking to scale operations, this episode is for you.
On this special episode of the Insider’s Guide to Finance, we dive deep into the heart of one of the most contentious topics in the business world.
Tom Klausen, President of True Viking Finance, and Scott Sinclair, President of Sinclair Range are back on the show to discuss the nuances of debt and equity.
Debt and equity are two common methods of financing a business. Each option has advantages and disadvantages, and the choice between them depends on various factors.
Tom and Scott debate the value of equity, the risk associated with debt, and the reasons most businesses fail. We discuss the evaluation game, and using debt to grow an insolvent business.
The episode unpacks leveraging debt and equity together, why equity is a last resort for pre-revenue businesses and the cost of capital. You'll also learn about issues about equity and much more.
We hope you learn something valuable from this debate – from both sides! Enjoy the show.
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Please note that the information contained in this interview is not financial advice but for entertainment purposes. I am not a financial advisor and make no warranties or representations concerning the accuracy or suitability of the information contained in this interview. I recommend that any and all investment decisions be made with the advice of accredited investment advisors.
What is The Insider's Guide To Finance?
The Insider’s Guide To Finance brings you stories from the front lines of financing public and private companies.
We host seasoned CEO's, fund managers, bankers, brokers and business experts who answer your questions about how to properly finance opportunities and build outstanding success stories.
We dig into the educational ‘how to’s' and mechanics of structuring good deals. You’ll also hear about strokes of luck, tense negotiations, the pressures of closing, as well as how to best engage investors and navigate the private and public markets.