Final answer:
The business owner and founders are usually the ones who assume all operational risks such as rent, salaries, and inventory. Angel investors and venture capitalists also take on risk by investing in startups, often in exchange for equity.
Step-by-step explanation:
The individual who assumes all the risks of the operation, including rent, salaries, stocks, and other business expenses, is typically the business owner. In the context of a startup, this responsibility often falls on the firm's founders, who may invest their own money to demonstrate their belief in the business's prospects. In addition to the founders, angel investors and venture capitalists may also contribute capital and assume some level of risk, in exchange for equity and a say in the business, while they work closely with the management to refine the business plan and reduce information asymmetry.
For many small businesses, the original source of money is either the personal savings of the owner or loans that may require personal assets as collateral. The relationship between founders, angel investors, and venture capitalists is critical in the early stages of a company's development, as they strive to balance the risks and the potential for profit in what is often a very uncertain environment.