Debt financing Debt financing is the act of raising operating capital or other capital by borrowing for business. Most often, this refers to the issuance of a bond, debenture, or other debt security. When a company takes a loan from the third party then it is considered debt financing. It is one of the most commonly used ways of financing. Debt can be of short-term, mid-term, … [Read more...] about Debt is the Cheapest Source of Financing