金融英语期末卷子

The two methods both make you have the money you need, but when you borrow the money from a lender, you will have to pay the lender interest according to the agreed interest rate, you owe a debt to the lender.The second method will deprive you the right to get ownership interest, but you will still have the same shares of you business, it can be called an equtity financial tool.

During a recession, banks' rising bad loans will make them even more panic and reluctant to lend, which in turn will cause business and the whole economy slowdown further.