If you need to spend cash on a business through either debt or equity, there are numerous steps that you must observe to lower your risk and improve your odds of generating optimistic returns. Bonds and mortgage investments are types of debt instruments. These forms of funding are repaid at a predetermined rate of interest. In the event of a company’s liquidation, bondholders are the first to obtain a payout. Secure enterprise funding from particular person traders at a stated rate of interest.