Equity Financing

Equity Financing - Equity Financing is simply selling common stock to investors. The investors can be individuals or corporations. In return for their cash investment, the investors receive stock (partial ownership) of the company. The more stock you buy, the more interest you have in the company another name for Equity financing is ?share capital?. Its jut another way of saying you own interest in the company buy purchasing share of the corporation for cash money. This the primary way a company achieves working capital and cash for expansion or to pay off debts. Equity fining is the alternative to debt financing where as the company borrows money from a lending institution..