Small and medium-size companies typically have more difficulty attracting equity capital than debt capital.

Question

Quizplus · Accepted Answer

Small and medium-sized companies often find it more challenging to attract equity capital because investors may perceive them as riskier investments compared to larger, more established companies. Additionally, these companies may not have the same level of visibility or access to equity markets as larger companies, making it harder to attract equity investors.

Small and Medium-Size Companies Typically Have More Difficulty Attracting Equity