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Tarun Suthar
•

The Institute of Chartered Accountants of India • 2m

Equity vs. Debt - What’s Better for Business Funding? 🤔 Let’s break it down with a simple example: Both scenarios (A & B) start with the same revenue and cost structure. But there's one key difference - the funding source. Scenario A: Funded ent

Siddharth K Nair

Thatmoonemojiguy 🌝 • 2m

so I if have x money needed to start a startup, take x money as loan is the best way right?🌝

2 Replies

Replies (2)

Tarun Suthar
•

The Institute of Chartered Accountants of India • 2m

Yeah taking debt is the best way but make sure that the ROI generated from the business is more than the Cost of Debt/Interest Rate.

1 Reply

Tarun Suthar
•

The Institute of Chartered Accountants of India • 2m

I apologise for the 1 incorrect data. EBT for Funds from debt will be 1500

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