Lending institutions are more likely to help finance the purchase of an existing business rather than the start-up of a business from scratch.

Question

Quizplus · Accepted Answer

This is because existing businesses have a track record of financial performance that lenders can evaluate, making it easier for them to determine the likelihood of repayment. Start-ups, on the other hand, have no financial history, making it riskier for lenders to provide funding.

Lending Institutions Are More Likely to Help Finance the Purchase