Debt Financing and Equity Financing for Businesses Charlottesville VA

Looking for Debt Financing and Equity Financing for Businesses in Charlottesville? We have compiled a list of businesses and services around Charlottesville that should help you with your search. We hope this page helps you find Debt Financing and Equity Financing for Businesses in Charlottesville.

Nora Gillespie
The Wrightbridge Company, Inc.
(434) 971-6825
1227 Cedars Court
Charlottesville, VA
Expertises
Cash Flow/Budgets/Credit Issues, College/Education Planning, Insurance Related Issues, including Annuities, Retirement Planning & Distribution Rules, Tax Planning
Certifications
NAPFA Registered Financial Advisor, BA, CFP®, CFS, MA

David Marotta
Marotta Wealth Management, Inc.
(434) 244-0000
One Village Green Circle, Suite 100
Charlottesville, VA
Expertises
Ongoing Investment Management, College/Education Planning, Financial Issues Between Generations, Retirement Planning & Distribution Rules
Certifications
NAPFA Registered Financial Advisor, AAMS, AIF, CFP®

Mr. Scott C. Waskey, CFP®
(434) 817-7480
PO Box 2853
Charlottesville, VA
Firm
Virginia National Bank Private Banking
Areas of Specialization
Asset Allocation, Banking, Business Succession Planning, Charitable Giving, Comprehensive Financial Planning, Education Planning, Estate Planning
Key Considerations
Average Net Worth: $1,000,001 - $5,000,000

Average Income: $250,001 - $500,000

Profession: Self-Employed Business Owners

Data Provided By:
Mr. William S. Mallory, CFP®
(434) 296-3835
114 4th St SE
Charlottesville, VA
Firm
Personal Financial Management & Counseling, LLC

Data Provided By:
Mrs. Stephanie Griffith Lyman, CFP®
(434) 964-2746
682 Berkmar Cir
Charlottesville, VA
Firm
SunTrust Bank
Areas of Specialization
Mortgages

Data Provided By:
Robert Arms
Marotta Wealth Management, Inc.
(434) 244-0000
One Village Green Circle, Suite 100
Charlottesville, VA
Expertises
Helping Clients Identify & Achieve Goals, Insurance Related Issues, including Annuities, Retirement Planning & Distribution Rules
Certifications
NAPFA Registered Financial Advisor, AIF, ChFc, CLU

Mr. Samuel W. Kan, CFP®
(434) 326-1226
600 Massie Road
charlottesville, VA
Firm
US Army
Areas of Specialization
Estate Planning, Government and Military, Legal Advice, Real Estate, Tax Planning, Tax Preparation
Key Considerations
Average Net Worth: Not Applicable

Average Income: Not Applicable

Profession: Government Employees

Data Provided By:
Mr. Steven Moultrie Ball, CFP®
(434) 973-3457
620 Woodbrook Dr.
Charlottesville, VA
Firm
Ameriprise Financial
Areas of Specialization
Comprehensive Financial Planning, Education Planning, Investment Planning, Retirement Planning
Key Considerations
Profession: Not Applicable

Data Provided By:
Mr. Steven J Engel, CFP®
(434) 220-4671
941 Glenwood Station Ln Ste 203
Charlottesville, VA
Firm
Ameriprise Financial
Key Considerations
Average Net Worth: Not Applicable

Average Income: Not Applicable

Profession: Not Applicable

Data Provided By:
Mr. Joseph M Marques, CFP®
100 E South St
Charlottesville, VA
Firm
Wells Fargo Advisors, LLC

Data Provided By:
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Debt Financing and Equity Financing for Businesses

There are several advantages as well as disadvantages to debt financing and equity financing, and while not everyone understands the differences, they need to be understood.

The first type of financing to look at is the most traditional, called debt financing. In simple terms debt financing means that you have loans for money that you do not have, this is why it is called debt, because you are in debt. Whether you owe this money to a bank, individual company, or even an investor you are under an obligation to repay the debt.

Some of the advantages to debt financing are that you are able to stay in control of your business. You are who decides what money is spent on, whom to hire, what hours of operation and everything else associated with your business. Another advantage is for your tax purposes. Simply put any money that you spend on interest rates you can deduct on your taxes. Depending on the amount of interest you are paying, this can be a huge tax saving.

One of the biggest disadvantages of debt financing is that too much debt can cause your business to look risky, or even unstable. While this is the most desired type of financing, you must ensure that your business is capable of making all debt payments on time.

The next major type of financing is called equity financing. This means that you are trading a piece of ownership of your business for money. This method is most often associated with angel investors and venture capitalists. One of the biggest advantages to equity financing is that you do not have to repay the debt in any way - you do not have to make a monthly or balloon payment to give money back to the investor. As long as your business is making money your investors are happy.

Another advantage is that your investors may be able to help you get debt financing. With the funding coming from several sources, you could give up less of your business and still get the funding you need. In addition, the investors may be financing other companies that can help your business out. Most reputable investors will only associate with reputable companies, so having a reputable investor helping your business automatically gives your business a bit of an edge over some competitors.

The disadvantage with equity financing is that you are giving away partial ownership of your business in exchange for money. This means that you are no longer the only person in charge of making decisions such as pricing, employees, merchandise, and suppliers. You will also need the other owner’s signature in order to apply for bank accounts, credit cards, as well as other forms of debt financing. One of the worse scenarios that can come from equity financing is that you end up being forced out of your business. This is generally caused by disagreements where the parties are unable to work together, and someone must be bought out. Typically, the party bought out is the one who originally started the business, simply becau...

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