Why are Government grants considered the cheapest form of long-term financing?
If I can remember right, in my non-profit class, we discussed different ways of financing businesses. One way was government, and naturally grants are a part of that financing. Grants often aren't paid back to the government. There is the checks and balance statement returned to the government with perhaps alot of different information about the progress of the business, its employees, its mission, who is to be serviced, etc.... Even employee salaries are a part of these monies and oftentimes the grantee reenlist with the same government affiliate each year for more monies.
Because their low interest rate is subsidized by the taxpayers.
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