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Which of the Following Is a Similarity Between Venture Capital

Question 32

Multiple Choice

Which of the following is a similarity between venture capital firms and angel investors?


A) Both invest in start-up companies with high growth potential in exchange for a share of ownership.
B) Both charge very high interest rates and structure loans to be repaid in months rather than years.
C) Both require an entrepreneur to provide a minimum of twenty-five to thirty percent of the start-up costs.
D) Both only finance large corporations that operate in universal and generic markets.

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