Explain why this company would require short-term financing

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Question - We visited a bell pepper growing greenhouse in Surrey, BC. The owner shared that the peppers are planted approximately in December and ready for picking around the end of March. They pick the peppers throughout the spring and summer, until the end of October. The greenhouse is then cleaned and replanted again in December for the next harvest season. Knowing what you learned about the industry, and the production cycle.

Required - please answer the following questions.

1) Explain why this company would require short-term financing.

2) Name and describe two sources of short-term financing the company could seek?

3) Name and describe two sources of long-term financing the company could seek?

4) Explain what three types of collateral a business like this could use to secure financing?

Reference no: EM133177769

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