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The Reasons Why the Start-Up Companies Obtain Financing from a Venture

Question 27

Multiple Choice

The reasons why the start-up companies obtain financing from a venture capitalist rather than a bank are


A) the venture capitalist knows more about the firm's business than does a bank
B) the venture capitalist has cheaper financing sources than a bank
C) the venture capitalist has developed a considerable management skills in dealing with numerous ventures
D) the bank is prohibited by regulation to lend to start-up ventures
E) both b and d

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