Question

Taking out a long-term loan to fund your business is an example of which type of funding?
A.
Equity
B.
Debt
C.
Cash flow
D.
Profit

Answer 1

@undeadknight26

Answer 2

I'd go with an Equity funding.

Equity:

A stock or any other security representing an ownership interest. This may be in a private company (not publicly traded), in which case it is called private equity. 2. On a company's balance sheet, the amount of the funds contributed by the owners (the stockholders) plus the retained earnings (or losses).

Answer 3

Either that or debt, because well Loans put you in debt.

Answer 4

Oreo's first answer is correct:

"Equity financing allows a business to obtain funds without incurring debt, or without having to repay a specific amount of money at a particular time."

\(\bf{Source:}\)
https://www.sba.gov/starting-business/business-financials/borrowing-money-your-business

Answer 5

Thank you Squishie