Question

A small business loan is used to pay for the costs associated with starting your own company? True or false

Answer 1

TRUE

Step-by-step explanation:

Loans are forms of financing entrepreneurial activities. Only entrepreneurial initiatives are the ones that most seek loans. Small businesses borrow money to cover the costs associated with starting up. For example, if you want to open an ice cream parlor but have no money, you can borrow from your bank to invest in your business.

Answer 2

Answer: True

Explanation:

A small business loan is known to be a loan given to an individual in order to start a business. The loan is used for running the day today activities of the business. The borrower that is the business owner reaches an agreement with the lender to repay the loan with interest over a specified period of time.