While equity does not require fixed repayments like debt, it is often considered a more expensive so
4. Scrutiny and Transparency Requirements
Raising equity capital often demands extensive disclosure of financial and operational information, exposing companies to scrutiny from investors, regulators, and competitors.
5. Cost of Capital
While equity does not require fixed repayments like debt, it is often considered a more expensive source of capital in the long term due to profit-sharing and potential appreciation in share value.