________ have traditionally been a major source of funds for established firms but are quite restrictive in their lending to start-up firms, as the risk is perceived to be too high.

Question

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Banks have traditionally been a major source of funds for established firms as they have a lower risk profile. However, they are quite restrictive in their lending to start-up firms, as the risk is perceived to be too high. Start-up firms typically do not have an established track record or collateral to offer, which makes it difficult for them to obtain loans from banks.

________ Have Traditionally Been a Major Source of Funds for Established