: Financial Markets 20 pts
Read each scenario in the following table and determine the best strategy to raise financial capital. (Early-stage capital, Profits, Bonds, Stocks)
Scenario Suggested strategy:
Early-stage capital/ from profits/
issue bonds/ sell stocks
After an amazing year of record profits, this company wants to take their winning formula and open another store. They don’t like to acquire debt or new partners.
This company is ready to go public and have their company trading in the New York stock exchange to raise money for the company.
In business for 15 years this company needs money to develop their production process and to expand to other countries. They are confident they can pay back this debt in 7 years.
A news start-up social media company needs money to develop their platform and to market their site.
This new company is looking to raise funds by having a strategic partner with access to money. The company is willing to give up ownership or to borrow the funds with a repayment term of five years.
: Financial Markets 20 pts Read each scena
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