Part 1 Debt capital is money loaned to corporations by investors. The bond represents the corporations debt. This is a key difference between a bond and stock.
Stock represents an ownership interest in the company.
If you accumulate enough stock, you will own the company. Whereas, a bond is a loan. You don't own any part of the company. A bond certificate will state, the corporation's obligation to pay back a specific amount of money, at a specific point in time, at a specific rate of interest. Interest is usually paid twice a year.