Question 1

Most entrepreneurs seeking money to launch their businesses need more than $1,000,000 in startup capital.

Accepted Answer

A) True 
 B)False

Question 2

Venture capital firms rarely take an active role in managing the business in which they invest.

Accepted Answer

A) True 
 B)False

Question 3

Loans from stockbrokers carry higher interest rates since the collateral-stocks and bonds in the borrower's portfolio-involve a high level of risk.

Accepted Answer

A) True 
 B)False

Question 4

Typically, a lender is willing to lend a small business owner 100 percent of the value of accounts receivable pledged as collateral.

Accepted Answer

A) True 
 B)False

Question 5

Only about half of the companies that attempt a public stock offering ever complete the process.

Accepted Answer

A) True 
 B)False

Question 6

The largest single source of external equity capital for small businesses is:

Accepted Answer

A)  angels. 
B)  venture capitalists. 
C)  Small Business Administration loans. 
D)  the stock market; i.e., "going public." 
A)  angels. 
B)  venture capitalists. 
C)  Small Business Administration loans. 
D)  the stock market; i.e., "going public."

Most entrepreneurs seeking money to launch their businesses need more than $1,000,000 in startup capital.

Venture capital firms rarely take an active role in managing the business in which they invest.

Loans from stockbrokers carry higher interest rates since the collateral-stocks and bonds in the borrower's portfolio-involve a high level of risk.

Typically, a lender is willing to lend a small business owner 100 percent of the value of accounts receivable pledged as collateral.

Only about half of the companies that attempt a public stock offering ever complete the process.

The largest single source of external equity capital for small businesses is:

The Foundations of Entrepreneurship

Inside the Entrepreneurial Mind: From Ideas to Reality

Designing a Competitive Business Model and Building a Solid Strategic Plan

Conducting a Feasibility Analysis and Crafting a Winning Business Plan

Forms of Business Ownership

Franchising and the Entrepreneur

Buying an Existing Business

Building a Powerful Marketing Plan

E-Commerce and the Entrepreneur

Pricing Strategies

Creating a Successful Financial Plan

Managing Cash Flow

Choosing the Right Location and Layout

Global Opportunities

Building a Team and Management Succession

Filters

Exam 13: Sources of Financing: Debt and Equity

Most entrepreneurs seeking money to launch their businesses need more than $1,000,000 in startup capital.

Venture capital firms rarely take an active role in managing the business in which they invest.

Loans from stockbrokers carry higher interest rates since the collateral-stocks and bonds in the borrower's portfolio-involve a high level of risk.

Typically, a lender is willing to lend a small business owner 100 percent of the value of accounts receivable pledged as collateral.

Only about half of the companies that attempt a public stock offering ever complete the process.

The largest single source of external equity capital for small businesses is:

The Foundations of Entrepreneurship

Inside the Entrepreneurial Mind: From Ideas to Reality

Designing a Competitive Business Model and Building a Solid Strategic Plan

Conducting a Feasibility Analysis and Crafting a Winning Business Plan

Forms of Business Ownership

Franchising and the Entrepreneur

Buying an Existing Business

Building a Powerful Marketing Plan

E-Commerce and the Entrepreneur

Pricing Strategies

Creating a Successful Financial Plan

Managing Cash Flow

Choosing the Right Location and Layout

Global Opportunities

Building a Team and Management Succession

Filters