Financing through shares

With a convertible loan, the investor buys shares and in return they receive financial compensation. The amount of compensation depends on the turnover, or profit achieved. As soon as a return is achieved, the investor benefits. This financing form is particularly suitable for fast-growing, young companies.

Interest

The interest rate of the convertible loan is relatively low in proportion to the risk of this investment. This is because a return on this investment must come from the increase in the company’s value and thus the share price.