When Entrepreneurs "Bootstrap" Their Financing, This Means That They Are

question 12

Multiple Choice

When entrepreneurs "bootstrap" their financing, this means that they are

• A) enhancing the "corporate image" of their enterprise by the way they raise capital.
• B) depending on their own initiative to come up with the capital necessary to start up and grow.
• C) subordinating future capital formation to short-term financial performance.
• D) waiting to establish a reputation in the marketplace before raising the bulk of their capital.

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Definitions:

Entrepreneurs

Individuals who start and manage businesses, taking on financial risks in the hope of profit.

Concept Statement

A written description that explains a new project or product idea, outlining its essence, purpose, and target market.

Entrepreneur

An individual who creates, organizes, and operates a business, taking on financial risks in the hope of profit.

Potential Investors

Individuals or entities that may consider allocating capital to a venture or project with the expectation of financial returns.