If you are an investor, especially if you’re a first-time investor, you probably have looked into your options. One of the choices you may have considered is being a shareholder of a company. Owning some shares of a company is also known as equity. Before jumping into any decision, it is best to know the pros and cons of your choices. Don't just go with the flow because most people want equity. Is equity the best possible course of action for you?

In today’s episode, I talk about the difference between equity and debt. I also discuss why I love being the “bank.” I also discuss why being in the lender position puts you in a more advantageous position than owning a share of the company. Being the bank is the smart and conservative way to invest. It’s not difficult to protect your assets. Let me show you how.

Debt trumps equity all the time.

In This Episode of Real Money Talks:

Defining equity
Explaining convertible notes
Benefits of being in the debt position

Subscribe, Rate & Share Real Money Talks!

Loral Langemeier is on a mission – to educate and empower the Real Money Talks community on how to have those important money talks that are straight, to the point, and can be applied to every aspect of your life. So, tune in every Monday, Wednesday, and Friday on iTunes to learn, ask Loral a question, and create your path to financial freedom! Don’t forget to leave a review and grab your free gifts on AskLoral.com!

Difference between Equity and Debt