Aardvark is a small pest-control business that has 30 employees. The company started business within the past year, and needs to make a decision on how best to make sure its finances are managed well as the company continues to grow its customer base and its business.
Aardvark needs some short-term financing to meet a cash-flow gap while it makes immediate capital expenditures. Which of the following, if true, would strengthen the case for the company using a credit card for this purpose?
Family members of the company owners have a lot of liquid assets.
The company is not sure when it will be able to repay the money.
The company expects to be able to repay the money next month.
The company needs to obtain a line of credit without interest.
The company can provide collateral for a secured loan.
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