Small Business Help? True or False?

Can someone help me out by indicating if the following are true or false and if possible give a reason why?

1) All small businesses try to become big businesses

2) Small businesses usually finance growth with the issue of shares

3) Capital is required to fund the period of product development, production and marketing before income is generated.

Any help would gladly be appreciated, thanks in advance.

These answers are from my experience. I've been running and consulting for small businesses for 15 years.

1) False. Many small businesses start out simply because they no longer want to work for someone else. They never intend to get large, and many don't want to.

2) False. Many small business never issue stock. The owner will invest his/her own money, or will borrow money (such as a line of credit on their home).

3) True. This is obvious. Capital is the same as money. You obviously need money to pay the bills until you start generating income.

Tags

　　Debt Financing 　　Capital Investment 　　Business Investment 　　Business financing 　　Business Invest 　　Business Debt 　　Bond Investment 　　Angel Funds

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