Winston is a sole proprietor seeking capital to expand his landscaping business. Identify the option Winston is using in the following fact patterns.

1. Winston uses his personal credit card to buy a new piece of machinery.

2. Winston borrows $1,000 from his wealthy aunt and promises to pay her back with interest at the end of the busy season.

3. Winston meets with a loan officer from his local bank and asks for a $30,000 secured loan to finance a new truck for his business.

4. Winston meets with a loan officer from his local bank and asks for a $30,000 loan that he can draw on to cover operating costs during the slow season. He will only need to draw on some of the loan amount during the slow season and will pay it back after the busy season.