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My sister owns a startup She took gold loan at the beginning of the company for investment. Later after few months she took loan for working capital. Now she is planning to buy vehicle and asking whether she can prefer to take another loan or not. I

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Arjun Ruparelia

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Most responses here make sense. Your business needs cash to grow. A fixed cash outflow right now could hurt your growth and increase the risk of running into a cash crunch. But let's assume your sister NEEDS the car. In that case, I suggest buying a smaller car, preferably a used car from a trustworthy source. Buy it in your company's name of course to claim depreciation and interest expenses.

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