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What are the benefits of using debt over equity

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Please answer all of these questions based on the assigned readings and or your personal knowledge.

Running a specialty cafe has been difficult. You are shorthanded in the kitchen and have only two part-time servers. Sales have decreased because customer wait time has increased. Overall you still have a loyal customer base, but you are looking to increase profits. Given a significantly limited amount of resources, what steps would you take to increase profits to grow your business?

What are the benefits of using debt over equity? Which form of financing is better in the short term? Which form of financing is better in the long term?

Reference no: EM132141492

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