In the Context of Non-Equity Funding, Identify a True Statement

In the context of non-equity funding, identify a true statement about loans.

A) Debt holders have a right to a firm's assets if the firm fails to pay off their loans.
B) Banks take a controlling percentage of ownership of any small business they give a loan to.
C) Equity investors receive proceeds from a filed firm before all other loans are paid off.
D) Banks have traditionally been eager to fund entrepreneurial firms.