Funding Strategy Quiz
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Questions and Answers

What is the main difference between accelerators and incubators?

  • Accelerators focus on long-term development, while incubators focus on short-term growth
  • Accelerators focus on developing disruptive ideas, while incubators focus on accelerating growth of existing companies
  • Accelerators provide funding for startups, while incubators provide funding for established companies
  • Accelerators focus on accelerating growth of existing companies, while incubators focus on developing disruptive ideas into business models (correct)
  • What is customer funding?

  • Funding provided by customers to support a company's research and development activities
  • A business arrangement between a vendor and its customer wherein the customer agrees to provide the vendor with some level of up-front funding in advance of delivery of the product or service (correct)
  • A type of funding exclusively available to large-scale corporate customers
  • Funding obtained from financial institutions to support customer acquisition efforts
  • What is crowd funding?

  • A type of funding limited to government-sponsored initiatives
  • A way of raising money to finance projects and businesses by collecting money from a large number of people via online platforms (correct)
  • A method of obtaining funding exclusively from venture capitalists
  • A process of securing funding through traditional bank loans
  • What is bootstrapping in the context of funding?

    <p>A method of building a business using internal resources or personal finances rather than external funding</p> Signup and view all the answers

    How does customer funding differ from crowd funding?

    <p>Customer funding involves a business arrangement between a vendor and its customer, while crowd funding involves raising money from a large number of people via online platforms</p> Signup and view all the answers

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