Taking out $20k loan for startup costs and I want to offer ownership shares to one investor who’s lending me half ($10k) but need advice on how to structure it please.
I know nothing of what to include, whats a typical percentage and for how long. In case it factors, their loan will be very low rate or interest free, tbd.
Are ownership shares even common for such a low amount loan? Is there an average?
Any advice is helpful. Thx.
The % will also depend on the value of your business. Its not like there is a standard average, its different for every business. You would want to value it properly so that you are not losing out on the actual value of your business