Let’s say you went $100,000 in debt starting a business, and it costs $5000 to operate every month and you make only $4000 every month for the first year.
But you have a house and family, etc.
Where is the money going/ coming from??
In: Economics
It depends on a lot of factors and a lot of very fun accounting.
If you’re legit, open the business run it until you feasibly can’t anymore then close up shop.
If you want to abuse the system, you continually say you’re opening at a loss while seemingly everything has linked itself to you and then when everything thinks you might be profitable you tell them you are continually reinvesting in the business and then you just become a beggar looking for “angel investors” when in reality you’re probably using Hollywood style accounting to continually operate at a loss. Look at Netflix. IIRC they haven’t ever actually been (on the books) profitable.
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