Why do traditional banks perceive the financial risk


Question 1: Define problems versus issues. Relate a specific problem and issue to the Kudler fine food example.

Question 2: How does the local, state, or national economy affect your business or place of work? Are there businesses that are relatively recession- or depression-proof? Why or why not? Are there businesses that may not prosper to the same extent as others during an economic boom? Why or why not?

Question 3: Why do traditional banks perceive the financial risk to be greater among small businesses? If you wanted to start a small business what are ways to secure financing? What are the pros and cons of these alternative funding solutions?

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