Tim Graham's startup, which is in the electronics industry, was launched on January 1, 2009. However, prior to its formal launch, Tim spent many hours working on his business, particularly during the feasibility analysis stage. The time and effort that entrepreneurs put into their venture, that can't be easily measured from a financial point of view, is referred to as:
A) effort equity
B) intangible equity
C) sweat equity
D) worry equity
E) fret equity

Question

Quizplus · Accepted Answer

Sweat equity refers to the time, effort, and energy that an entrepreneur puts into a venture that can't be easily measured or valued in financial terms. This refers to the work and investment put in by the entrepreneur before the launch of the startup. Option A is incorrect because it does not accurately describe the effort made by the entrepreneur. Option B is incorrect because intangible equity refers to assets such as patents, copyrights, and trademarks. Option D and E do not accurately describe the efforts of the entrepreneur.

Tim Graham's Startup, Which Is in the Electronics Industry, Was