The myth that growing through equity is better than debt financing is debunked by Lukas Baškys, Deputy CEO of SME Bank. “Equity is actually the most expensive form of capital because you are risking everything you have.” In a discussion about medium-sized business financing and its alternatives, the expert reveals how businesses lose the competitive race simply due to the fear of borrowing on time.

With the current bond boom in the market, L. Baškys urges businesses not to rush. Before taking this step, it is essential to explore bank financing alternatives, which are usually cheaper. The banker also emphasizes the golden rule: don’t put all your eggs in one basket, and maintain relationships with multiple banks.

Why do businesses apply for loans too late, only seeking to “patch up holes,” and what needs to be done for a business to secure the exact financing it requests? Learn all about uncompleted homework and corporate financial literacy in the Verslo žinios podcast featuring the SME Bank expert in Lithuanian.