SBICs

Multiple Choice

SBICs:

A) were chartered by the SBA to help start-up companies find private financing from commercial banks and finance companies.
B) provide short-term debt-based capital to small businesses through the sale of the debt to private investors.
C) cannot invest in or lend money to a business for more than five years.
D) were created by the Small Business Investment Act to use a combination of private and federal guaranteed debt to provide long-term capital to small businesses.