WS. FINANCING

WS. FINANCING. 08.11.2017

A. KEY VOCABULARY

assets - sth of value that a company owns, which can be used or sold to pay debts (активы)
shares - units of equal value into which a company is divided and sold to raise money (акции)
collateral - a house or sth valuable that you promise to give to somebody if you cannot pay back money that you borrow (обеспечение)
capital - a large amount of money that is invested or used to start a business
equity - the value of a company's shares or profits (собственные средства)

No doubt, getting money from friends and family is the easiest, but it's not really the best option.
Ideally, we'd get an angel investor, but we don't know any reach people.
A loan wouldn't be ideal but it is, arguably, the easiest and most reliable way to raise capital.
If you ask me, selling shares would be a big mistake.
I must say that a bank loan is best option for a company that doesn't want to sell its shares.

Different types of financing:

1. Getting a bank loan
- the most traditional and conservative way to get money
- some of the hardest loans to get
- aren't ideal for new businesses because the bank will often require collateral or other assets that it could seize if the company fails
- better for existing businesses

2. Using credit cards

3. Getting money from friends

4. Venture capital

5. Crowdfunding

6. Angel investors

7. Selling shares