The most frequently used source of short-term funds when collateral is available is:
A) SBA Microloans.
B) SBA 7(a) loans.
C) R&D limited partnerships.
D) commercial bank loans.

Question

Quizplus · Accepted Answer

Commercial bank loans are the most frequently used source of short-term funds when collateral is available because they are easily accessible and offer lower interest rates compared to other short-term funding options. SBA Microloans and 7(a) loans are more suitable for small businesses that need funds for startup or expansion, whereas R&D limited partnerships are not typically used for short-term funding needs.

The Most Frequently Used Source of Short-Term Funds When Collateral