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2min chapter
A 7-part Theory of Principal Compensation
2Bobs—with David C. Baker and Blair Enns
Understanding Risk and Lending Money to a Company
This chapter explores the various forms of risk associated with lending money to a company, including what you own, what you do, and the implications of a capital call situation. It also discusses the premium that the owner should be able to earn on the loan back to the company.
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