Start-Ups

Should Your Start-Up Raise Debt or Equity?

March 10, 2026 · 5 min read

Should Your Start-Up Raise Debt or Equity?

Capital is not one-size-fits-all. Equity buys you runway without repayment pressure but costs ownership and control; debt preserves your cap table but demands predictable cash flows.

Early-stage, pre-revenue companies usually lean on equity and angel funding because they cannot service debt. As revenue stabilises, a blend — venture debt alongside equity — can extend runway with less dilution.

We help founders model both paths against their growth plan, assess funding requirements, and structure the round so the terms work in their favour for years, not just at signing.

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