TO: XYP, Chief Executive Officer

FROM: AYZ, Finance Manager

DATE: September 19, 2020

SUBJECT: Congratulations Note to CEO, XYP

Just a brief to congratulate you on your appointment as the Chairman of the Board. As I had previously communicated, I am an enthusiast of your work, and I value your advice on equity and debt financing activities. For this reason, I look forward to your leadership as we continue to face significant financial challenges. Research shows that we need to identify suitable ways of financing our business to remain sustainable.

Debt Financing

The firm will acquire funds from an external entity with the promise of repaying the initial outlay and interest. Debt financing is a readily available capital source and will let us retain full ownership of our business, unlike in equity financing. However, it has steep repayment and interest terms. Overall, the stock market movement may strengthen short-termism, playing a significant role in determining investors' willingness to finance our operations.

Equity Financing

GET THE WHOLE PAPER!