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Risk factors inherent in an entrepreneurial venture

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We know that the cost of capital is in part based upon risk. The riskier the investment, the higher the cost of the capital. Entrepreneurs are often flabbergasted at the return investors expect. Most entrepreneurs see their businesses as "low risk" or "sure to succeed" businesses. Discuss three risk factors inherent in an entrepreneurial venture and how those risk factors could affect the success of the business.

Reference no: EM132668463

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