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... > social science subjects > business and management > entrepreneurship > new venture management > entrepreneurship financing and economic development > debt-based financing

Preferred term

debt-based financing  

Definition

  • After entrepreneurs have exhausted their own funds to start their venture, debt is the most widely used form of external financing by new firms. As such, debt is an important source of external financing for funding working capital and possibly growth in new firms. [Source: Encyclopedia of New Venture Management; Debt-Based Financing]

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https://concepts.sagepub.com/social-science/concept/debt-based_financing

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