the advantage of borrowing capital at the banks is that the people who lend money have no participation in the future or the direction of the business throughout the loan payment is done. The other advantage is that loan payments can be predicted.The loss of the borrowed capital in the bank is that when loan payments are not implemented in a timely fashion, then lenders can do the forced repayment efforts against the company even makes the entrepreneur became bankrupt to get the loan money back, even if the loan is only a small part of the value of the company owes. Lenders can even commandeer houses and other property of the borrower company with a sole proprietorship, or a partner in a relationship of cooperation, in lieu of the loan money.
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