15.2 Borrowing for a Start-Up and Growing Business
A business can use five sources of capital to begin its operation and fuel its initial growth:
Personal funds
Borrowed funds from family and friends
Commercial bank loans
Borrowed funds through business start-up programs like the U.S. Small Business Administration (SBA)
Angel investor or venture capitalist funds
Figure 15.1
The business life cycle.
Description
The image shows a succession of five arrows all pointing to the right. They are labeled, from left to right, Start-up, Growth, Maturity, Decline, and Closing. The Start-up arrow is rather small, the Growth arrow is bigger, the Maturity ...
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