After being turned down from the banks to provide her with start-up capital for a new venture,Juanita borrows money from a close friend a lower interest rate.What should Juanita do regarding this loan?
A) Put the terms of the loan in writing.
B) Slowly pay the loan since the interest rate lower.
C) Offer her friend shares in the company.
D) Allow her friend to help make operating decisions.

Question

Quizplus · Accepted Answer

Juanita should put the terms of the loan in writing to avoid any misunderstandings or disputes in the future. This will also help to ensure that the friend understands the terms and conditions of the loan and that both parties are clear on their obligations.

After Being Turned Down from the Banks to Provide Her