Money loaned to a business with the understanding that the money will be repaid is called DEBT capital. Equity capital is money invested in a business in return for a share in the profits of the business.

Debt capital is money invested in a business in return for a share of the business’s profits.

Net worth is the difference between what you owe and what you own.

Venture capitalists are usually interested in companies that have the potential of earning hundreds of millions of dollars within a few years.

Your company’s debt-to-equity ratio measures how much money you can safely borrow.

Banks require collateral for most unsecured loans.

Equity capital is money invested in a business without expectation of a share of the profits.

A solid business plan is needed for a bank loan but not for SBA loan assistance.

Most SBA loan assistance is made by guaranteeing loans made by commercial banks.

Entrepreneurs may be able to get financial assistance from their state or local governments.

To calculate net worth, you should

Things that you own are called

Money invested in a business in return for a share of the business’s profits is

Venture capitalists are individuals or companies that

Unsecured loans are

A line of credit

If a business wants to make improvements to increase profits, it will usually get a

A bank may turn down a loan application for a new business because the entrepreneur

MESBICs lend money to small businesses that are

Although similar to borrowing from the SBA, the restrictions are tighter for borrowing from