Interest rates for small business owners are normally made up of the ______ plus an additional percentage.

Question

Quizplus · Accepted Answer

The prime interest rate is the standard rate that banks use as a base for setting interest rates for different types of loans and lines of credit, including those for small businesses. This base rate is then adjusted by adding an additional percentage to account for the level of risk associated with the loan, among other factors.

Interest Rates for Small Business Owners Are Normally Made Up