Unit 6 Study Guide

Front

Buildings, equipment and funds are all considered _______________.

Back

Capital

Front

Joey is a part-owner of the Donut Corporation. This means that he has ___________ in the corporation.

Back

Equity

Front

__________________ provide financing to start-up companies and small businesses that are believed to have long term growth potential.

Back

Venture Capital Firms

Front

Capital that a business raises in the form of a loan to be repaid at a later date.

Back

Debt Capital

Front

Capital that a business raises by selling a percentage of a business.

Back

Equity Capital

Front

An arrangement between a bank and a company, that allows a company to borrow a certain amount of money at any time.

Back

Line of Credit

Front

A supplier allows a company to buy now and pay later.

Back

Trade Credit

Front

A situation where an entrepreneur starts a company with little capital.

Back

Bootstrapping

Front

All of the following are benefits of lines of credit except: Flexible payment terms, Flexibility of usage, Helps with cash flow

Back

Access to cash limitations

Front

A crowdfunding platform where entrepreneurs can gather money from the public.

Back

Kickstarter