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Lenders are considered stakeholders because they have a vested interest in the financial health and performance of the businesses or individuals to whom they provide loans. Their primary concern is the repayment of the principal along with interest, which directly affects their profitability and risk exposure. Additionally, lenders may influence business decisions through covenants and conditions tied to their financing agreements, impacting the overall strategic direction of the borrower. Thus, their financial interests align closely with the success and sustainability of the borrowing entity.

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2w ago

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