Commentary

135.1 Advantages and disadvantages of private equity finance

BUSINESSES vol 4(2) start-up, sale and purchase
| Commentary

135.1 Advantages and disadvantages of private equity finance

| Commentary

135 Private equity finance

135.1 Advantages and disadvantages of private equity finance

Most small businesses tend to look to bank and other loans as a way of finding long- and medium-term finance. In some cases, however, it may be cheaper and more convenient to raise the money through one of the many forms of private equity finance. In reality, equity finance is mainly useful to provide medium-term finance, as most investors will want to call in their investment within a relatively short period of time, often as little as five years1. In addition, the proprietors of the business will normally have

To continue reading
View the latest version of this document, as well as thousands of others like it, sign in to LexisLibrary or register for a free trial