Question 95

The business plan of a venture must show consistent, but manageable projected growth because :

Solution

The business plan of a venture should show consistent but manageable projected growth because many entrepreneurs fail after expanding too rapidly. Sustainable growth allows for a strong foundation, operational efficiency, and risk management. While some investors may prefer quick growth, it depends on their specific objectives. Banks consider profitability along with other factors. Bankers and investors evaluate opportunities based on multiple factors, not just the size of thecompany.

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