A Guide to Debt Finance

  • Price: £3.60
  • Published: December 2015
  • Type: Business Information Factsheet
  • Format: PDF

Many small business owners seek to raise external funding at some stage, with debt finance being one of the most common sources for both start ups and existing firms. There are, however, several different types of debt finance and a business owner's ability to raise external finance will depend on a number of factors such as their trading history, business type and security. Borrowing money often requires the owner of the business to provide personal guarantees, which can put their personal finances at risk.

This factsheet describes the types of debt finance available to business owners. It outlines the key issues that should be considered before taking on debt, and the associated risks.

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