Raise Capital
Secure the funding you need
We develop a financial strategy customized to achieve your unique funding needs. Once a funding model is in place, we leverage our expansive network of private equity, family offices, venture funds, and high net worth individuals to achieve your equity and/or debt raise.
Choosing Debt, Equity, or a Combination for your Capital Needs
There are two types of financing available to a company when it needs to raise capital: Equity Financing and Debt Financing.
- Debt financing involves the borrowing of money whereas equity financing involves selling a portion of equity in the company.
- The main advantage of equity financing is that there is no obligation to repay the money acquired through it.
- Equity financing places no additional financial burden on the company, however, the downside can be quite large.
- The main advantage of debt financing is that a business owner does not give up any control of the business as they do with equity financing.
What We Do
Secure the funding you need
We develop a financial strategy customized to achieve your unique funding needs. Once a funding model is in place, we leverage our expansive network of private equity, family offices, venture funds, and high net worth individuals to achieve your equity and/or debt raise.
Choosing Debt, Equity, or a Combination for your Capital Needs
There are two types of financing available to a company when it needs to raise capital: Equity Financing and Debt Financing.
- Debt financing involves the borrowing of money whereas equity financing involves selling a portion of equity in the company.
- The main advantage of equity financing is that there is no obligation to repay the money acquired through it.
- Equity financing places no additional financial burden on the company, however, the downside can be quite large.
- The main advantage of debt financing is that a business owner does not give up any control of the business as they do with equity financing.
Debt
A company would choose debt financing over equity financing if it prefers to retain full ownership and control of the business.
Debt financing involves borrowing funds from lenders or investors with a promise to repay the principal plus interest within a set time frame. This is often a good option for established companies with a proven track record of financial success and predictable cash flows.
Additionally, debt financing may offer more flexibility than equity financing as lenders typically do not require a stake in the company and are only interested in receiving their repayment on time.
However, taking on too much debt can also be risky, as it can lead to financial instability and potential default if the company is unable to meet its repayment obligations.
Equity
A company would choose equity financing over debt financing if it is willing to give up a portion of ownership in exchange for funding. This is often a good option for companies that are still in the early stages and don’t have a proven track record of financial success.
By offering equity to investors, they are able to raise capital without taking on debt and adding interest payments to their financial obligations.
Additionally, investors who purchase equity in the company become stakeholders with a vested interest in the company’s success and may provide valuable guidance and expertise to help the company grow.
Ready to explore what’s possible for you and your business? Contact us today.
Equity
A company would choose equity financing over debt financing if it is willing to give up a portion of ownership in exchange for funding. This is often a good option for companies that are still in the early stages and don’t have a proven track record of financial success.
By offering equity to investors, they are able to raise capital without taking on debt and adding interest payments to their financial obligations.
Additionally, investors who purchase equity in the company become stakeholders with a vested interest in the company’s success and may provide valuable guidance and expertise to help the company grow.
Ready to explore what’s possible for you and your business? Contact us today.
Private Capital Solutions
For smaller capital needs, Pasadena Private has an in-house private lending division that can provide debt financing from $1MM to $10MM to help acquire a competitor, buy out a shareholder, pay a dividend, or capture new business opportunities.
Contact us today for more information on how you can best leverage our funding solutions.
Protect what you have. Accelerate value in what you build. Control how you exit. Define your legacy. Contact Pasadena Private Strategic Advisors today.