Small Business Start-Ups Are Likely to Find That Getting Commercial

Multiple Choice

Small business start-ups are likely to find that getting commercial loans is:

A) difficult because commercial lenders are reluctant to give loans to firms that do not have an established record of successful performance.
B) one of the easiest and most flexible ways of obtaining financing because local bankers are usually eager to establish relationships with new companies.
C) relatively difficult because start-ups require much higher financing costs than other sources.
D) the best way to obtain all the financing they need as lenders usually get an ownership stake in the companies.