It maybe true with certain financiers. But not always the case as you said. Take my cousin for example, he knew those co CEOs and he wanted part of the action. That's why he lended $$ to those CEOs. He later accumulated enough shares to gain a seat with the Board of Directors himself. Its all about CONTROL & POWER. Fianciers don't just lend $$ to strangers. Even my own father wouldn't lend me $$ if he thought my business idea were bad. Each case is different.