Tim Graham's Startup, Which Is in the Electronics Industry, Was

question 12

Multiple Choice

Tim Graham's startup, which is in the electronics industry, was launched on January 1, 2009. However, prior to its formal launch, Tim spent many hours working on his business, particularly during the feasibility analysis stage. The time and effort that entrepreneurs put into their venture, that can't be easily measured from a financial point of view, is referred to as:

• A) effort equity
• B) intangible equity
• C) sweat equity
• D) worry equity
• E) fret equity

---

Definitions:

Additional Capital

Extra funds injected into a business or investment, beyond the initial capital.

Small Business Administration Loan

A type of loan offered by the Small Business Administration (SBA) to help small businesses get started or expand with less stringent qualifying criteria than conventional loans.

Bank Loan

A sum of money lent by a bank to an individual or organization under the agreement that it will be repaid with interest.

Sole Proprietorship

A business structure in which a single individual both owns and operates the business, bearing full responsibility for its debts and obligations.