Debt Financing - When a firm raises money for working capital or capital expenditures by selling bonds, bills, or notes to individual and/or institutional investors. In return for lending the money, the individuals or institutions become creditors and receive a promise to repay principal and interest on the debt.
Debt Financing : when a firm raises money for working capital or capital expenditures by selling bonds, bills, or notes to individual and/or institutional investors. in return for lending the money, the individuals or institutions become creditors and receive a promise to repay principal and interest on the debt.