Self Financing - If you are just starting a small business that chances are good that you have self-financed your startup cost at this point. The advantage of self- financing is that you did not have to apply to financial institution and enter into a contract which you agree to pay the borrowed amount back with interest.
Equity Financing - Is a way to raise capital by selling a portion of your small business to investors for exchange for cash. You this example being played out in shows like Shark Tank.
Debt Financing - This is one of the most popular types of financing small business owners use. This is when you borrow money from a financial institution and agree to pay the borrowed amount back as stipulated in the contract the you signed.
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