Self-Financing
Lending money to a business can provide a defensible mortgage against the entity and provide optimal security against a creditor or lawsuit. It is also a more effective way of protecting what would typically be an investment (equity) and is subject to total loss if the business fails.
Several strategies can be employed to use a business to guarantee a bank loan that would put a financial institution in a first position of security and create an unattractive target for a creditor knowing that a financial institution had priority over any possible claim they might have.
Always consider financing a business based on the most optimal way to protect your investment and provide indirect control via a mortgage or lien.
PROTECT YOUR ASSETS TODAY!
The best defense is a good offense.