Business Studies, asked by ghoshrupa9877, 1 year ago

Sources of capital in entrepreneurship

Answers

Answered by TheUrvashi

a Sources of financial capital. Entrepreneurs have a number of sources of financial capital as their ventures develop. Notice that the level of risk and the stage of the firm's development should determine the appropriate source of financing for the entrepreneurial ventures.

Answered by sakshiii99

Business can acquire capital by borrowing. This is debt capital, and it can be obtained through private or government sources.

For established companies, this most often means borrowing from banks and other financial institutions or issuing bonds.

For small businesses starting on a shoestring, sources of capital may include friends and family, online lenders, credit card companies, and federal loan programs.

Like individuals, businesses must have an active credit history to obtain debt capital.

Debt capital requires regular repayment with interest.

The interest rates vary depending on the type of capital obtained and the borrower’s credit history.

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