The capitalization structure of a business is its foundation.
From the first sale to investment allocation via the operating budget to protected assets and billing cycles, everything begins with the way a founder and CEO finances their operations. The capitalization structure can have a huge impact on a company's profitability, on cash on hand, and whether or not you’ll have to bring in outside capital to keep the business afloat. But beyond fundraising, there are many options for debt when constructing a capital structure because it has certain advantages compared to equity financing. For example, using debt (such as loans) helps keep profits within a company and helps secure tax savings.
This event is in partnership with Capital One Business.