Management Accounts

What is equity in a business?

There are a number of reasons for running your own business. It may be the flexibility of working hours, the opportunity to work for yourself or a wish to build something to pass on to the family. But whatever your driver for starting out, one thing is for sure, you’re most likely not doing it all for free. As well as securing a regular income for you and your employees, you’ll be looking to build value into your business. This value is called the equity.