Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Operation Research Expert

Financing and Equity Capital

Rhonda Allegro has spent most of her spare time in the last 10 months either in the library at the local university or at the Small Business Development Center (SBDC) housed there. A little more than a year ago, she decided to launch a retail music store specializing in musical instruments, supplies, and hard-to-find sheet music and music books. She also plans to set up a "marketplace" between music students and teachers, collecting a finder's fee for each match-up. Rhonda set a goal of developing a complete business plan within a year, and now, 10 months later with her plan completed, she is ahead of schedule.

Rhonda was the creator of the plan, but she had plenty of help building it. She used the services of the university's SBDC, a friend who is an accountant at a Big Six firm and a friend who is an attorney. She thought that her plan was a good one, but she was excited when the SBDC counselors encouraged her to enter a statewide competition sponsored by a local venture capital firm for the best business plan. She could hardly believe it when her plan won in the retail division!

Now, all that remains is launching the business. Rhonda has $75,000 that she plans to invest in the business, but her financial forecasts indicate that she will need another $650,000. Two banks already have turned her down, both citing the risk involved in small business startups. One of the SBDC consultants suggested that Rhonda consider searching out equity capital. "That sounds promising, but how do I find equity investors? Where do I start my search? What are my options?"

1.Answer Rhonda's problems.

2.Which equity sources would you recommend to Rhonda? describe.

3.What are the advantages and disadvantages of using equity capital?

Operation Research, Management Studies

  • Category:- Operation Research
  • Reference No.:- M927347

Have any Question? 


Related Questions in Operation Research

The relationship between language and thinking please

"The Relationship Between Language and Thinking" Please respond to the following: Consider the following quote by the philosopher Ludwig Wittgenstein, who believed that thought without language was impossible: "The limit ...

A critical review on use of operations research for

A critical review on use of Operations Research for Decision Making

Consider the following scenarioyou have held conversations

Consider the following scenario: You have held conversations with Precision Part's leaders and obtained the following information, which you want to use in the development of a 4-year strategic management plan. PPQ Parts ...

Short essays no required length1 discuss how occupational

Short essays (no required length) 1. Discuss how occupational safety and health laws and regulations are established, implemented and possibly altered. 2. Compare and contrast this with the establishment of environmental ...

A 75-year-old female is an inpatient in bed 1 of room 10 on

A 75-year-old female is an inpatient in bed #1 of Room 10 on a medical telemetry unit. She has been admitted for pneumonia. She is slightly confused. No family is with her in the hospital at this time. The nurse introduc ...

Questionusing minitab andor a cause-and-effect diagram

Question: Using Minitab and/or a cause-and-effect diagram, identify the root cause of the problem you are trying to solve for the process you chose in 1-3. Also, construct a main effects plot, if applicable.

Michael has decided to invest 40000 in three types of funds

Michael has decided to invest $40,000 in three types of funds. Fund A has projected an annual return of 8 percent, Fund B has projected an annual return of 10 percent, and Fund C has projected an annual return of 9 perce ...

Question 1at the beginning of each day a patient in a

Question 1: At the beginning of each day, a patient in a hospital is classified into one of three conditions; good, fair, or critical. At the beginning of the next day, the patient will either continue to be in the hospi ...

Directions the assignment focuses on your own understanding

DIRECTIONS The assignment focuses on your own understanding of the team's group project. Early in the conceptual phase of a new product, team members should begin to think about all of the things that need to be done to ...

The reading assignments in module 1 plus the lecture

The reading assignments in Module 1, plus the lecture, present an introductory framework for the project management office (PMO). Explain the key distinction between the PMO and project management. Respond to one of the ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

WalMart Identification of theory and critical discussion

Drawing on the prescribed text and/or relevant academic literature, produce a paper which discusses the nature of group

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro