The tendency of technology and media companies to fail within the first three years likely means that these companies' loans have higher interest rates. Lenders perceive them as higher risk, leading to increased costs for borrowing.
About 90% of technology and media companies fail within the first three years of business.
Question
Use the passage to answer the question.
How does this tendency affect the loans granted to new technology and media companies?
(1 point)
Responses
These companies’ loans are smaller.
These companies’ loans are smaller.
These companies are unable to obtain loans.
These companies are unable to obtain loans.
These companies’ loans have higher interest rates.
These companies’ loans have higher interest rates.
These companies are loaned money by many different institutions.
1 answer
1 answer