They can either borrow money from someone else (the bank) or they could sell area of the company to folks which is known as issuing buy stocks online. This is highly good to the company because they don't have to pay back anyone or make charges along the way. The only issue with the company is that in order to raise this money these are selling ownership of the organization and its profits. The hope that this buy stocks online holders have is always that someday their shares will likely be worth over what they bought them for. There is a risk when buying buy stocks online while there is no guarantee that you're going to make money off your investment. When a private company issues buy stocks online the first time it is known as an Initial Public Offering (IPO). Any company that sells buy stocks online is then known as a corporation.
Not all companies sell buy stocks online. You won't find the local restaurant inside your small town trading on the NASQAD in the near future. Companies make this happen for a number of reasons. An example is that the company just doesn't require any extra money to start-up. The owner with the local restaurant will be able to finance all the start-up costs - staff, building rent, utilities, bills, etc. - through himself. However, if he desired to expand his restaurant into a significant franchise - i.e. McDonalds- then a owner would want a lot of money and must convince individuals the buy stocks online by proving to the public that his business will likely be successful. This is very important because no one will invest in a business deemed to fail.