Debt vs. Equity: Learn the Difference Between Interest and Dividends - MFI Series1, #73

On our journey to become bonafide investors, we must understand the concepts of debt and equity. Debt fuels the economy. In fact, the bond market is much larger than the equity (stock) market.  But when should you take a loan for a business versus issue shares? That's a good question. Each scenario and situation is different, but knowing the pros and cons of each is vital to making great decisions in business, real estate, and investing.