Course: Why businesses borrow money
4 minute read
Chapter 3
Understanding loans
Borrowing money can seem a little like magic. One day, your bank account is low. And the next, it’s not. But it’s never that simple. What does borrowing money really entail? In this chapter, we’ll take a close look at loans, which are one of the most common ways to access capital.
Key terms:
- Principal
- Interest
- Fees