Question

please help
1. equity financing refer to
a. investment of goods and resources instead of money
b. a monetary loan with high interest rates
c. money lent in exchange for business ownership.
d. all of the above

2. The different between a loan and a grant is that

3. Microfinance loans are primarily the purpose of
a. Assisting people in poverty to obtain fund to start a small business
b. providing funding to start up business with a social purpose.
c. assisting young with the ability to go to school.
d. all of the above.

4. venture capitalist are

Answer 1

1. Equity financing refers to money lent in exchange for business ownership. because equity holder is owner of company they pay money for getting ownership in business.

2. The difference between a loan and a grant is that the loan have to pay on regular basis whereas grant is received on fulfillment of some conditions from govt. that not need to pay.

3. Microfinance loans are primarily the purpose of all of the above. Microfinance purpose is to provide money to people of small scale or low income individuals.

4. venture capitalist are Investors who invest their money in generally startups having a potential of high growth in exchange of equity stake.

I hope this clear your doubt.

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