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> Say you take $100 million in finance, so you are now $100 million in debt Venture capital is not a loan; it's a purchase of equity. You are not in debt after
by chc 14y ago
> Say you take $100 million in finance, so you are now $100 million in debt
Venture capital is not a loan; it's a purchase of equity. You are not in debt after taking money.
- seanmcdirmid 14y agoYou are right. But the $100m is not earnings either, and you have to spend it, so your balance sheet is still negative for awhile.