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Why borrow at 15% interest?

Jaja Finance borrowed almost £50m at a steep 15% annual interest rate. Such a high rate suggests that lenders see the company as a risky investment. They demand more interest to compensate for the higher chance they might not get their money back. It's a sign that traditional, cheaper financing might not be available.

Stories that explain this

Asda credit card firm's £50m debt costs more than it earns