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Comment by umdobchob | Hacker News Reader

It's not nearly as bad as they make it seem. Loans/debt are a completely healthy source of financing.

I agree. Let's see what their statement is. They are however quite late with the 3.0 upgrade that was first expected at the end of 2016 (as was the release of Squadron 42, the single player campaign). We're still waiting for both of them.

Significant tax advantages too. Loans can also be a sign of a healthy growing company with big plans and confidence in their execution.

This is nothing more than a Redditor losing control and spreading a false rumor that has been fanned by news sites.

Also dangerously close to Libel.

Excepted it wasn't planned like that.

Source? Not all loans are bad, it wouldn't make sense to plan on never taking a loan.

I'm pretty sure they blew through most of their estimates.

The projects was always hailed as one of the big crowdfunding break and nothing indicates they considered borrowing to finance the project given the massive amount of money they got and the time estimates they posted.

By all means, check for yourself.

It would be irresponsible to operate entirely off of crowdfunded cash because that money could go a lot farther if properly invested. If you invest, then sometimes you need more cash that you have on hand. You could sell some of your assets, but if you can reliably anticipate they'd sell for significantly more at some future time (relative to interest rates), then you're better off taking a loan and then paying it off when you sell assets later.

Why would you assume a company would never use a loan?

Apple takes out loans and they have billions. There could be tax incentive to take out loans.

Apple takes out loans in the US because their offshore billions are subject to 30ish % corporate tax if repatriated, which is indeed a tax incentive albeit a perverse tax dodging one...

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