Question

1. Provide one (1) example of a traditional source of capital AND one (1) example of a nontraditional source of capital.

2. In at least one (1) complete sentence, describe how location factors play an important role in the success of a business.

Location factors include:

Located on a busy street
Low or High Rent
Competition nearby
Large or Small space
Visibility
Strategic partners

3. In at least two (2) complete sentences and in your own words, compare and contrast a traditional business plan and a lean startup business plan.

Be sure to mention how they are different from each other and ONE way in which they are both alike.

Answer 1

Step-by-step explanation:

Sorry - I forgot to scroll down to read the rest of your questions!

1. A traditional source of capital is bank. A business can apply for a loan from back. A non-traditional source of capital is crowd funding. A business can put up a proposal on Kickstarter to get money from people for it.

2. Location is a critical factor for business. For retail stores, being located on a busy street will determine how many customers will visit due to visibility. Rent is based on location and space: how high or low rent is will add to costs of running a business.

3. Both traditional business plan and lean startup plan need an idea - how the business can attract consumers for their goods or services. The key difference between them is that traditional business usually requires more capital than a lean startup; especially if the startup is an online business that does not require a storefront.