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Match the Definition with Its Term

Question 15

Matching

Match the definition with its term.

Premises:

Responses:

Individuals who form limited partnerships for the purpose of raising venture capital from large institutional investors

Loan covenants

An SBA program that provides short-term loans of up to $50,000 to small businesses and not-for-profit child-care centers

7(a) Loan Guaranty Program

A loan program that helps small companies obtain financing through a guaranty provided by the SBA

Community-based financial institution

An SBA program that helps to finance companies that plan to transform laboratory research into marketable products

Small business investment companies (SBICs)

Funds provided by wealthy private individuals to high-risk ventures

Small Business Innovative Research (SBIR) Program

A lender that uses frunds from federal, state, and private sources to priovide financing to small businesses in low-income communities

Certified Development Company (CDC) Loan Program

An SBA loan program that provides long-term financing for small businesses to acquire real estate or machinery and equipment

7(m) Microloan Program

Privately owned banks, regulated by the SBA, that provide long-term loans and/or equity capital to small businesses

Formal venture capitalists

Informal venture capital