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Advantages
- expert advice, helps with growth and development great for inexperienced managers who need help
- they have contacts with vendors/suppliers/distributors
- still have some control of business depending on the equity taken
- inject large amounts of cash, they may not want any repayment for a few years
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Disadvantages
- loss of control, they may have different ideas and paths for the comoany, completely the opposite of what your business plan was
- they may buy out the company for a low price
- partners may fall out causing arguments and disagreements
- investor may demand high dividends or returns, affecting profitability
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