Greg is a founder who needs more money to continue operating his company. The company has a path to profitability and Greg does not want to dilute his equity. He borrows $100 million from the Silicon Valley Bank. What is this an example of?
A) Debt capital
B) Equity capital
C) Private equity
D) Venture capital

Question

Quizplus · Accepted Answer

Debt capital refers to funds borrowed by a company that must be repaid over time, typically with interest. In this scenario, Greg is borrowing money from a bank, which is a form of debt capital.

Greg Is a Founder Who Needs More Money to Continue