Author Question: One of the most difficult challenges that businesses encounter as they grow is maintaining high ... (Read 63 times)

jeatrice · **on:** Jul 6, 2018

One of the most difficult challenges that businesses encounter as they grow is maintaining high levels of quality and customer service.

Indicate whether the statement is true or false

Question 2

What is the difference between equity funding and debt financing? What are the most common sources of equity funding and debt financing?

What will be an ideal response?

Question 3

Growth usually increases rather than decreases the challenges involved with cash flow management.

Indicate whether the statement is true or false

ashely1112 · **Reply #1 on:** Jul 6, 2018

Answer to Question 1

TRUE

Answer to Question 2

Equity funding means exchanging partial ownership in a firm, usually in the form of stock, for funding. Angel investors, private placement, venture capital, and initial public offering are the most common sources of equity funding. Debt financing is getting a loan. The most common sources of debt financing are commercial banks and the Small Business Administration through its SBA 7(A ) Guaranty Loan Program.

Answer to Question 3

TRUE