What role do investors play in a business?

Get ready for the Leaving Certificate Business Test. Prepare with flashcards and multiple choice questions complete with hints and explanations to help you succeed. Ace your exam now!

Investors play a crucial role in a business by providing the necessary capital needed to establish and grow the enterprise. This financial backing is essential for various initial expenditures such as purchasing equipment, hiring employees, and managing operational costs. Without this capital infusion, many businesses would struggle to get off the ground or expand their operations. Investors are essentially stakeholders who believe in the potential of the business and are willing to fund it in exchange for a share of ownership or returns on their investment.

The other options describe functions that are typically handled by different roles within a business. Daily operations are usually managed by managers or operations teams, while supply chain management involves logistics professionals who ensure that products are efficiently produced and delivered. Customer relations are commonly the responsibility of marketing and sales teams, which focus on engaging with customers and managing their experiences.

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