Which of the following is not a form of debt financing?
A) A loan from the Small Business Administration (SBA)
B) Crowdfunding
C) Personal credit cards
D) A bank loan
E) Borrowing from family and friends

Question

Quizplus · Accepted Answer

Crowdfunding is a form of equity financing, not debt financing. In debt financing, a business borrows money and agrees to pay it back, typically with interest. With equity financing, the business sells shares of ownership in exchange for funding. A, C, D, and E are all examples of debt financing.

Which of the Following Is Not a Form of Debt