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There are two options that owners of a company may consider in such scenarios. Either they may borrow funds from banks, or propose and offer an IPO (initial public offering). A less desirable alternative may be borrowing funds from banks as they charge heavy interest which a new company can ill afford. Offering IPOs is a better option for companies as investors investing in an IPO can cash in on a nascent company’s growth curve and the company can obtain funds for it to grow.