Founder Growth Options: Debt vs. Equity
At Acresis we typically chart out a 36-month path to value to help our Founder Advisory clients achieve double or even triple-digit growth, which can stress the rivets on existing resources and capital. Running out of cash as you grow is a scary moment for any business, but business owners have a multitude of options in lines of credit, non-conforming debt, friends and family equity investment...all the way to institutional money. Understanding the proper proportion and sequence of various capital choices is integral to maximizing your growth and liquidity options later on. For example, we often use debt over equity to finance early stage growth, so that follow-in valuations for future equity investments are higher. Learn more about our views and practices around capitalizing a business.