Why Billion-Dollar Companies Borrow Money — and You’re Still Using Your Own
- Dewayne Williams
- Aug 4
- 5 min read
💸 YES — A Company with $50 Billion in Cash STILL Borrows Money
This Is Why I Chuckle When People Say “Don’t Borrow Money”
In 2020, Apple had over $200 billion in cash sitting in the bank.Yet they raised $8 billion in debt instead of spending their own money.
Why?
Because billion-dollar companies understand leverage.
They borrow at 2% interest...Then reinvest the borrowed capital to earn 10–15% returns.
Meanwhile, they keep their cash untouched — earning interest, preserving liquidity, and protecting their position.
This is called using other people’s money the right way.
So when someone says,
“I don’t believe in borrowing money...”…I chuckle.
Because billion-dollar companies — with more cash than they know what to do with — still borrow.
It’s not about being afraid of debt.
It’s about using debt strategically through the right structure.
❌ Why LLCs Can’t Play This Game
LLCs (especially single-member ones) are seen as disregarded entities by the IRS.
That means:
Any credit you apply for still touches your social
Any loan issued is personally guaranteed
And when things go wrong, you’re fully exposed
A properly structured C-Corporation is different.
It is a separate legal person under federal law.
It can open its own bank accounts.
Borrow money.
Hold assets.
Be sued without putting your personal assets at risk.
And most importantly — it can build its own credit profile and leverage business strategies banks use.
🧠 Most People Think Banks Just Keep Your Money Safe — But That’s Not What Really Happens
When you put your money in a bank, it feels like it just sits there, right?You think:
“I gave them $100. It’s in my account. I can take it out anytime.”
But here’s what really happens:
🏦 Banks Don’t Just Hold Your Money — They Use It
Banks are allowed by law to only keep a small piece of your money, and then use the rest to make more money.
This is called fractional reserve banking — and that’s just a fancy way of saying:
“The bank only saves a fraction (a small part) of your money and lends out the rest.”
🧃 Let Me Give You a Lemonade Stand Example:
Let’s pretend you gave the bank $10.
Instead of putting that $10 in a jar and saving it for you, the bank says:
“Hmm… we’ll keep $1 just in case you want a little bit back soon… and we’ll let someone else borrow $9 of your money to build their lemonade stand.”
Then…
That person who got the $9?They use it to buy lemons.The lemon seller puts that $9 into their own bank.
That second bank keeps just 90 cents, and then lends out $8.10 to someone else.
And it keeps going, over and over again.
🧮 So How Does This Help the Bank?
Your original $10 now turned into $10 + $9 + $8.10 + $7.29 + ...It’s like magic — your money is being reused and recycled by banks to make more money off loans and interest.
But here’s the part that should make you mad:
You still only have your $10 sitting in your account
The bank made money off that same $10 many times over
And they might give you 3 cents at the end of the year as a “thank you”
💣 And the craziest part?
Since 2020, the Federal Reserve (the people who make the rules for banks) said:
Banks don’t even have to keep any of your money in reserve anymore.
That means they can loan out the entire $10 — not just $9 — and still legally tell you your money is “safe.”
😳 You: Earn pennies in interest
Bank: Makes thousands in profit
That’s why we teach you how to play the bank’s game — with your own business, your own EIN, and the right structure.
🔁 The Strategy You Can Start Using TODAY (New and Underrated)
🎯 Equipment Leasing — Even If You Don’t Use Equipment
You don’t need a forklift or a crane.
You need a C-Corp, a real EIN, and a vendor that reports to the business credit bureaus.
Equipment leasing is a credit-building and funding hack most business owners overlook — and it’s one of the fastest ways to show financial activity tied to your EIN, not your SSN.
✅ How It Works:
Set up your C-Corp
Ensure your business has:
411 listing
EIN
D-U-N-S number
Real commercial address
Business bank account
Apply for an equipment lease in the business name
Lease common items like:
Computers
Printers
Office furniture
Point of Sale terminals
Make on-time payments (which are tax-deductible)
Build strong business credit FAST
Use that profile to unlock:
Business credit cards
Business auto loans
Unsecured working capital
🔍 REAL Vendors Who Report:
Vendor | Reports To | Website |
Crest Capital | D&B, Experian | |
Behalf | D&B, Experian | |
TimePayment | Equifax | |
eLease | Experian | |
National Funding | Experian |
You can even lease from Dell, Apple, and Amazon — just make sure it’s in your business name and not personally guaranteed.
💡 Tip:
Many business owners lease not because they need the equipment, but because it creates a positive trade line that builds their Paydex and Equifax scores.
They return the equipment or buy it out — but the business credit profile is built forever.
🏦 Receipts: Which Banks Allow Collateralized Business Lending?
Yes — there are banks that let you secure funding using business assets.
You just have to ask the right question and be structured correctly.
Bank | Known Products | Public Confirmation |
Wells Fargo | Secured Business Lines of Credit | |
U.S. Bank | Secured Business Credit Card | |
Bank of America | CD-Based Business Loans | (Call your local branch) |
PNC Bank | Secured Business Lending | |
TD Bank | CD-Secured Loans |
🧠 Tip: Walk into your local branch and ask:
“Do you offer business loans or credit cards secured by business assets like CDs, insurance policies, or commercial leases — under a C-Corp?”
Most will say yes — if you’re structured properly.
🧠 Final Thought: Your LLC Can’t Do This — But Your C-Corp Can
Stop thinking like a consumer.
Stop being afraid of debt.
Start using business credit the way banks and corporations do.
If you’re ready to:
✅ Set up a C-Corp
✅ Build a real business credit profile
✅ Access non-personal funding
✅ Learn how to lease, borrow, and scale like the pros…
We’ll build it.
We’ll structure it.
We’ll show you how to fund it.
Welcome to the next level.
First of all this information was very informative and second of all didn’t know the process with the bank when you put your money in there and third of all, I thank God that I’m a part of this legacy and I will be able to not only Build generational
wealth, but also know how to use leverage in everything I do. Thank you again knowledge is taking action & I’m grateful I did.
This is very interesting I didn’t know that banks made money off of your money. I truly appreciate your insight and time to share this information.