If the project is successful, equity investors will benefit the most; If the project fails, the equity investors will be paid later than the creditors. Therefore, the lender regards the equity capital of the project as the security guarantee of its financing. Function of equity fund: (1) Equity fund can improve the project's ability to resist risks; (2) The amount of equity capital investment determines the investors' concern and management right of the project; (3) The investment of equity capital plays a psychological incentive role in project financing; (4) Necessary conditions for establishing the project company; (5) Debt financing guarantee.

Debt funds, also known as borrowed funds, refer to the funds obtained by enterprises from fund providers through debt in the financial market. Is the symmetry of its own funds.