3 ms·
Aren't a lot of companies given large amounts of capital at the early stages of the company which are not interest-earning loans?
by tshaddox 4y ago
Aren't a lot of companies given large amounts of capital at the early stages of the company which are not interest-earning loans?
- WJW 4y agoWell they are hardly "given" any capital, they sell part of themselves for money. The VCs don't do it out of the goodness of their heart, they expect to get back more later. In any case if loans were not available and equity investments (by people who are already rich and thus have money to spare for investments) were the only way to fund capital intensive new companies, that would make my point even more.