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Managerial preferences can be a strategic constraint.
Collateral
Assets that a borrower offers to a lender to secure a loan, which can be seized if the borrower fails to repay the loan.
SBA Loan
A loan made to a small business through a commercial bank, of which a portion is guaranteed by the Small Business Administration.
Commercial Bank
A financial institution that provides services such as accepting deposits, providing business loans, and offering basic investment products.
Unsecured Term Loans
A loan made to an established business that has demonstrated a strong overall credit profile.
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