why do companies issue their shares?

okay!!! very good question. before going to start our original discussion we need to understand that how many ways are there to raise money to expand the company's business. so there is mainly a total of three ways to raise money. there are many other ways to raise money but we are discussing about that which are the main ways to raise money. debt:- debt is a very popular way to raise money. so that companies need to take huge loans for short term or long term time and companies need to pay their loans accordingly term basis. but the disadvantages of debt is companies need to give an interest of a loan. which will become worst where the loan amount is too huge. pledge share:- company can pledge currently issued shares to the bank to raise more money from the bank. it is a very risky way to raise money from a bank. but if the share price goes down the company has to pledge more shares to the bank as the current share price and the price which the company pledges their share is differ. it is so risky and more often it cost too much that some time company needs to file bankruptcy. IPO:- it is a very famous way to raise a money by which the company sells some amount of ownership to the public and raises money. the very interesting part of IPO is that once company sells its shares there is no need to pay any interest on that. so technically after selling some stake of companies they can easily get more and more amount whenever the company wants. but the condition is to satisfy all the terms and conditions of the SEBI. so if a company wants to get listed to the share market then the company must need to follow the instructions and guidelines of SEBI. and give all the details of the company to the SEBI. and once SEBI verified the company all statistics then the company issue shares to get money and use that money to pay past loans, expand their business, to buy more assets, launch new products, etc. I think you get it. if still having a doubt you can again ask me. I will try to reply as soon as possible.