A happy business is a debt free business.
Loans are very appealing, many people would jump at the chance of getting what looks like free money, but in the long term they can make a business very unhappy.
Initial acceptance of bank loans may make one feel happy that they are able to do something about a particular matter. But many months down the line, or even after a year or more, you’ll probably wish you never took that loan. Unless of course the loan was used to invest in an area of the business that helps to give R.O.I.
How many people take a loan only to end up using it on a holiday, or something unrelated to the business. It’s often better not to take that loan, or if you do take it, see about paying it back over a shorter term.