Page 3 - Ideal Structure News Today : Breaking News, Live Updates & Top Stories | Vimarsana

Agree to share a percentage of top line revenue for a defined period of time. >> so can this get risky for companies? because i have money from you. i have to give you my revenue. that means that i can't increase my expenses because i have this revenue top line to pay out. with equity it's fine. i can spend as much as i want, but here i owe you a portion of my revenue regardless of my expenses. >> right, right. that's something we talk to a lot of small business owners about. the best way to look at it is similar to a loan, for example. if that business is seasonal or cyclical, they have a bad...

Companies? because i have money from you. i have to give you my revenue. that means that i can't increase my expenses because i have this revenue, top line to pay out, so with equity it's fine. i can spend as much as i want, but here i owe you a portion of my revenue regardless of my expenses. >> right, right. that's something we talk to a lot of small business owners about. the best way to look at it is similar to a loan, for example. if that business is seasonal or cyclical, they have a bad month or quarter and they still have to maintain those payments on that debt which can put that busine...