Different circumstances require different financing options. Having spent ten years as a financial adviser I realized that each business is worth of individual attention. There are several financing options available that can make a business competitive provided they suit its needs and match its profile.

1. Options to Consider

a. Debt Financing
Raising working capital through debt financing implies borrowing money from retail or institutional investors, who, in return, expect you to repay the principal and the interest on your debt within the repayment schedule. To receive this line of credit, you have to show strong cash flows, high liquidity and a coherent business plan to explain why debt refinancing may be an option for your business.

Pros - No need to relinquish equity.
Cons - High interests involved. Need to put personal assets as collateral. If you go bankrupt, the debt has to be repaid by your personal funds.

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