Which of these forms of financing requires the smallest minimum size of the borrower?
A) short-term commercial bank loans
B) commercial paper
C) mezzanine funds
D) venture capital funds

Question

Quizplus · Accepted Answer

Short-term commercial bank loans typically have lower minimum size requirements compared to other forms of financing. This is because these loans are mainly intended to finance the day-to-day operations of businesses, and therefore the loan amounts needed can be relatively small. Commercial paper, mezzanine funds, and venture capital funds typically require larger minimum loan amounts, making them less accessible for small borrowers.

Which of These Forms of Financing Requires the Smallest Minimum