Entrepreneurship and Small Business

_______ financing is the money needed to pay for the current operating activities of a business.

• Long-Term
• Owner
• Short-Term
• Start-up

Many small businesses have an advantage over larger businesses because they are better able to _____

• Provide unique services to customers
• Market their products
• Raise large amounts of financial capital
• Mass produce products

Roughly what percentage of new jobs are created by businesses with fewer than 500 employees?

• 80 Percent
• 60 Percent
• 20 Percent
• 40 Percent

There is little evidence that developing a business plan has any impact on whether a new business fails or succeeds.

• True 
• False

Which of the following is not a common reason for the failure of small businesses?

• A lack of sufficient start-up money
• Lack of management experience
• Shortage of skilled workers
• failure to manage credit offered to customers

You will likely pay more for a product or service from a small company than from a large one.

• True
• False

A _____ business should locate in an area with access to raw materials and transportation systems

• Retail
• Service
• Manufacturing
• Wholesale

A(n) ____ is an invention or creation that is brand new.

• Development
• Innovation
• Imporvement
• Advancement

According to the Small Business Administration, a small business is one with 100 or fewer workers.

• True
• False

________ is money provided by large investors to finance new products and new businesses that have a good chance to be very profitable.

• Marginal Capital
• Working Capital
• Lending Capital
• Venture Capital