Deck 12: Debt and Other Forms of Financing

Question 1

Canadian entrepreneurs can make use of government financing, such as IRAP
research grants and SRED tax incentive programs to help start-ups preserve cash and reduce debt.

Answer 1

True

Question 2

A subscription model provides a predictable and recurring way for companies to use customer payments to finance day-to-day operations.

Answer 2

True

Question 3

Spin Master is a company that used a CYBF loan to become a leading toy supplier and Ernst & Young Entrepreneur of the Year

Answer 3

True

Question 4

The Business Development Bank of Canada only offers loans of up to $50,000

Question 5

Which of the following are sources of financing that an entrepreneur may choose before seeking a bank loan or external financing?

A) Family
B) Friends
C) Bootstrapping
D) Crowdfunding
E) All of the above

Question 6

According to the Bank of Canada, at the end of 2013 consumers had personal credit outstanding of close to?

A) $5 Million
B) $67 Million
C) $2.7 Billion
D) $63 Billion
E) $1.36 Trillion

Question 7

Canadian Youth Business Foundation loans offer the following:

A) Financing
B) Mentorship
C) Networking
D) All of the above
E) B & C only

Question 8

The Business Development Bank of Canada offers loans to:

A) Small Businesses to start up
B) Larger Companies to expand
C) Multinational Companies to enter the Canadian market
D) All of the Above
E) A and B only

Question 9

Explain why the BDC small business loan is an attractive source of financing compared to other options

Question 10

What information is necessary in order to apply for a BDC or CYBF loan: