Entrepreneurs basically "borrow from themselves" by pledging their ________ as collateral for the loans they receive in a ________.
A)business; commercial loan
B)business assets; home equity loan
C)home; home equity loan
D)big ticket items; floor loan

Question

Quizplus · Accepted Answer

Entrepreneurs pledge their homes as collateral for home equity loans, which they then use as capital for their businesses. This allows them to "borrow from themselves" since they are essentially using their personal assets to fund their business endeavors.

Entrepreneurs Basically "Borrow from Themselves" by Pledging Their ________ as Collateral