Answered

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How can revenue-based business loans contribute to greater economic growth?
a. By offering low-interest rates to businesses with poor revenue performance.
b. By providing funding based on a business’s revenue, enabling scalable growth and innovation, which in turn can drive broader economic development.
c. By focusing solely on reducing the operational costs of businesses without impacting their revenue.
d. By requiring businesses to have substantial collateral before offering loans, thus limiting access to capital.

Sagot :

KitdaAneekidn

Answer:

b. By providing funding based on a business’s revenue, enabling scalable growth and innovation, which in turn can drive broader economic development.

Explanation:

Revenue based business loans are given with intent to provide funds to business that will be paid back from the revenues that is anticipated from the operation without having to rely much on collateral or credit scores. In the broad perspective, it will enable companies to expand its market, outlet, invest on technology and thus help the economy. Such loans can foster wider economical growth as many new start-ups get the funding they may have not had a chance at days.

Therefore, the correct answer choice is b.

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