What’s the point in taking out a cash settlement in advance of my case? The number one reason that people take advantage ofsettlement fundingfrom their pending lawsuit is to pay their bills. Whatever those bills may be: Mortgage, rent, car payment, utilities, college tuition, medical expense...
In this context, the Trade-off theory raises, and considers the effects of the entire industry (taxes, bankruptcy costs, and agency problems) and predicts an optimal structure as a result of balancing costs and the benefits of issuing debt and capital. In this framework, leverage is considered...