Why would debt financing be a good option for your new coffee shop?

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Jun 3, 2021

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00500 words that respond to the following questions with your thoughts, ideas, and comments. This will be the foundation for future discussions by your classmates. Be substantive and clear, and use examples to reinforce your ideas.
For this Discussion Board, please complete the following:
There are two different types of financingdebt financing and equity financing. Watch the following videos to understand more about each financing type:
What is debt financing?
What is equity financing?
For this Discussion Board, assume that you want to open a new coffee shop. Prior to opening this new coffee shop, you need to determine the best financing option. Then, discuss the following:
Why would debt financing be a good option for your new coffee shop?
Why would equity financing be a good choice to start up your new coffee shop?
If you would like to use a combination of debt financing and equity financing, in what way would you determine the debtequity ratio?

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