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Disadvantages of Equity Financing

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Despite its benefits, equity financing comes with drawbacks that businesses must carefully consider. 1. Dilution of Control Issuing new shares reduces the ownership stake of existing shareholders. Founders and early investors may lose influence over key business decisions, particularly if new investors hold significant equity stakes. 2. Increased Pressure from Shareholders Equity ... https://finxl.in/india/financial-reporting-certification-online-training-courses.html

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