They choose to be in debt because , they think that if they borrow money to start the business up , then the profit they make will pay it back , And if they dont borrow the money they will loose out on a business oppurtunity
This might be because they will use this borrowed to start up the business and so in the long run, it will have been beneficial if they have made more money that they had borrowed.
Also, if they choose to invest the loan in a business, they will either make a large profit from it so they will be able to pay the loan back, or they will make a big loss and will need to take out another loan to pay the first one off.
maybe they do this because if they borrow to much money to buy a business then that business could end up making more than they spent in the first place making a profit:). alfie grizzly bear borszcz
carrying debt can earn you money in the long term because, the money that you borrow can be spent on things such as advertiseing, which will help the business to make even more money in the long term. Ian Burden
if you borrow money you can do more for your business which will in turn bring more money in therefore you can pay the money back whilst making more profit and making your popular. also if you invest in something which will mean you can save more money itas worth borrowing it
When you have debt it means that you have more money to spend and make better things within your business such as opening new branches or bringing out a new product. This will attract more cusotmers bring more money into the business.
it would make the business more money because then they could buy a lot of products, which means in the long run the business will get more profit and be able to pay their debt back and still have some money.
Some businesses like to carry come debt and think in the long run it will make them more money because it's sometimes better to invest in the business and you can then purchase necessary equipment or still have money to open antoher business in a different town because in the long run, this will bring more profit than if they waited.
some business like to have outstanding debt as they think that this will enable them to seize the opportunity at that time, for instance waiting two years for enough profit to be able to go on and grow, and possibly expand your business may not always be practical if another company may swoop in in the meantime and take away your customers.
In the long run they hope that their business might make a profit or lift off the ground,because their business might then be more widely known , so that they can pay off the debt and still have a profit and be more widely broadcasted. so therefore by taking it to start off with, they dont have to pay as high tax as you would if you werent in debt?
Becayse with the money that they burrow they will make more. Example Business gets a loan of£10,00 and s£20.000 out of it, they will still have to pay back £12.000. but they wouldnt have make the £8.000 without the loan in the first place. Brad Woolford
because the business thinks that they will get more monety out of it instead they will loose money because they will have to pay back interest money more. craig hudson :0
because they can expand there business, meaning they will get more money. they can then pay of the debbt, and carry on with there expanded business, making more money then before. mike sanders
welll to be honest i think first it it coz of da intrest and secondaly they could mkae a profit wid the money££££ they borrowed dont delete this one please:(
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ReplyDeleteBecause they think they will make more money. Grace
ReplyDeleteThey choose to be in debt because , they think that if they borrow money to start the business up , then the profit they make will pay it back , And if they dont borrow the money they will loose out on a business oppurtunity
ReplyDeleteSavannah Ward x
This might be because they will use this borrowed to start up the business and so in the long run, it will have been beneficial if they have made more money that they had borrowed.
ReplyDeleteAlso, if they choose to invest the loan in a business, they will either make a large profit from it so they will be able to pay the loan back, or they will make a big loss and will need to take out another loan to pay the first one off.
maybe they do this because if they borrow to much money to buy a business then that business could end up making more than they spent in the first place making a profit:).
ReplyDeletealfie grizzly bear borszcz
carrying debt can earn you money in the long term because, the money that you borrow can be spent on things such as advertiseing, which will help the business to make even more money in the long term.
ReplyDeleteIan Burden
if you borrow money you can do more for your business which will in turn bring more money in therefore you can pay the money back whilst making more profit and making your popular. also if you invest in something which will mean you can save more money itas worth borrowing it
ReplyDeleteim not sure mr clarke (: please tell me the answer.
ReplyDeletemitchell lucas
When you have debt it means that you have more money to spend and make better things within your business such as opening new branches or bringing out a new product. This will attract more cusotmers bring more money into the business.
ReplyDeleteCharlie Nasri :)
it would make the business more money because then they could buy a lot of products, which means in the long run the business will get more profit and be able to pay their debt back and still have some money.
ReplyDeleteSome businesses like to carry come debt and think in the long run it will make them more money because it's sometimes better to invest in the business and you can then purchase necessary equipment or still have money to open antoher business in a different town because in the long run, this will bring more profit than if they waited.
ReplyDeletesome business like to have outstanding debt as they think that this will enable them to seize the opportunity at that time, for instance waiting two years for enough profit to be able to go on and grow, and possibly expand your business may not always be practical if another company may swoop in in the meantime and take away your customers.
ReplyDeleteIn the long run they hope that their business might make a profit or lift off the ground,because their business might then be more widely known , so that they can pay off the debt and still have a profit and be more widely broadcasted. so therefore by taking it to start off with, they dont have to pay as high tax as you would if you werent in debt?
ReplyDeleteChloe Orange
Becayse with the money that they burrow they will make more. Example
ReplyDeleteBusiness gets a loan of£10,00 and s£20.000 out of it, they will still have to pay back £12.000. but they wouldnt have make the £8.000 without the loan in the first place.
Brad Woolford
because the business thinks that they will get more monety out of it instead they will loose money because they will have to pay back interest money more.
ReplyDeletecraig hudson :0
This comment has been removed by a blog administrator.
ReplyDeletebecause they think that they will get more money for the business (:
ReplyDeletewhy delete my comment sir:(
ReplyDeleteif you open another store, then you would get a lot more profit, then when you have to pay back your money then you should still have some profit
ReplyDeletebecause they can expand there business, meaning they will get more money. they can then pay of the debbt, and carry on with there expanded business, making more money then before.
ReplyDeletemike sanders
welll to be honest i think first it it coz of da intrest and secondaly they could mkae a profit wid the money££££ they borrowed
ReplyDeletedont delete this one please:(