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A new business may find it difficult to raise external finance due to a lack of established credit history, which can make lenders hesitant to provide loans. Additionally, investors may perceive higher risks associated with startups, as they often have unproven business models and limited operational track records. Furthermore, competition for funding can be fierce, with many startups vying for the same pool of investors, making it challenging for new ventures to stand out.

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3w ago

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