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

question 9

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.

---

Definitions:

Fraternal Twins

Twins that develop from two different eggs fertilized by two different sperm, genetically similar as siblings but not identical.

Prenatal Influences

Factors occurring before birth that can affect the development, health, and behavior of the individual, including genetic and environmental influences.

Identical Twins

Twins who develop from a single fertilized egg that splits in two, leading to two genetically identical organisms.

Heredity

Heredity refers to the transmission of traits and characteristics from parents to their offspring through the process of genetic inheritance.