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If an entrepreneur starts a business using only personal savings, what is it called?

Answer and explanation

Correct answer: स्व-वित्तपोषण

Using personal savings to start and operate a venture is self-financing and is commonly called bootstrapping. It can reduce interest obligations and outside control, but the entrepreneur also bears the financial risk and may have limited funds for growth. Debt uses borrowed money, while external investment comes from outside owners or investors.

Related tags

BootstrappingSelf FinancingOwner’s FundsOwner S FundsSources Of Business FinanceBusiness StudiesClass 11 Mcq

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