...financial management, and risk financial. In the business world, there are many of options to funding the Business Venture. Author shares his preferred option of funding the resource funds that makes sense to him, which is bank loan. He also states the advantage and disadvantage of the bank loan. Funding a Business Venture What is the Investment Banker? Investment bankers are advisers for their clients on high level issues of financial organization. The work thus involves lots of financial analysis, and a strong background in finance and economics is support them in their work. They serve as strategists for their clients, helping them develop their financial plans as well as implement them. Investment bankers serve as crucial figures in the shaping of the American and world economies, managing mergers of multibillion-dollar corporations and handling the privatization of government assets around the world. What is Stock Market? A stock market is the market that investors use to trade shares that indicate partial ownership in businesses for a set price. Which are like small pieces of the companies that investors can own. Those investors who buy the shares become entitled to a portion of the business' assets and earnings. If many people want to buy a stock, the price will go up. If there are more sellers than buyers, the price will go down. This will make the companies in the stock market to finding the support of the funding to the companies. What is Financial Management?...
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...Funding A Business Venture John S. Garrett Jr. American Intercontinental University Abstract A business venture is a huge risk that involves money, time, patience, endurance and commitment. Money is needed to get the business off the ground and running. Time is required to give the business a chance to produce a profit. There are going to be good and bad days and you must have patience to see the venture through. There will be some tough and long roads ahead and you will need to endure them. If there is no commitment, you have wasted money, time, patience and endurance to a project that will affect you monetarily and possibly credit wise. Funding a Business Venture The pros and cons to starting-up a business have been weighed. I do not have the money to start-up a business and neither the patience or time to see a business venture through. I weighed my options in starting a business: borrow money, sell stock, or license the technology. I have decided to license my technology. By doing this, I will have freed up my time and will not have to worry about incurring the expense in manufacturing, marketing, distributing, and selling a product. (Jackim, 2009) Nothing is easy in business. Sacrifices have to be made and deciding in which direction to go are major decisions. Go and talk with an investment banker. An investment...
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...FUNDING A BUSINESS VENTURE BUSN105-279 AIU Online Abstract Mrs. Bourne informs her readers of her viewpoint on investment bankers, the stock market, financial management, and risk financing. She then informs the audience of her and her business partner’s financial choice for starting their small business. The author wants the readers to understand why she and her partner made the choice that they made and what their second financial option would be if needed. She will describe the positives and negatives of each of their choices. Funding a Business Venture Investment banking is strictly buying and selling businesses for a profit. Investment bankers come up with a company’s value and buy the company from the owner, only to turn around and sell it piece by piece to the public. By selling the company in shares the investment banker makes a profit. Investment bankers are important because they assist in the introduction of initial public offerings. The stock market is what we call the registry of stocks and bonds that have been bought and sold. The function of the stock market is to keep a society informed about economic transactions and the value of certain stocks and bonds. The stock market is important because it keeps Americans knowledgeable about the rises and falls of the world that we live in. It is very important in keeping businesses running smoothly financially. Financial management is simply managing a business’s finances. Someone who is in the financial...
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...Kendra Anders Funding A Business Venture 10/20/2013 AIU Online Abstract: The meaning, function, and importance of the four elements as follows. The four elements in business (stock market, risk financing, investment banker, financial management) are presented in this paper. The pros and cons are presented by the author of various to fund the starting of the business. Funning A Business Venture The stock market, transition from one stock broker to another. It is also known as equity market. The shares are listed on stock exchange, also being that the shares are privately traded. stock is important because it keeps people with the knowledge that is needed about the rises and falls. The most important is keeping the business running smoothly. It's also important because it is a good source for raising money for a business. Firms can raise capital by allowing companies to be traded publicly. If a newly business own has lack of knowledge about sock marketing it can be unforgiving. Risk financing provides funds and plan to insure that finances are available in case the unpredictable loss can happen. It is important for a business to involve themselves in risk financing due to the fact that it can bail a tremendous financial problem. Investment banker advise their clients on high levels of financial organizations. By selling the company in shares the investment banker makes a profit. The banker purchases the issue from the corporation arranges to resell the issue...
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...FUNDING A BUSINESS ADVENTURE BY: SCOTT BROWN ABSTRACT: The financial decision in this person’s opinion is the best one that would work for your invention and without all the risks there is a lot to profit from it. The meaning, function, and importance of the four terms provided are as follows. First there is the investment banker, the investment banker is the one that will put the money to fund your project and is very important since you are trying to get your idea up and running with no money and they are the ones that will fund everything from the manufacturing to the advertising. There function is to back your idea and get it made and out to the public. The next is the stock market, this is where if your invention gets made and is successful it would make it to here for others to be able to buy stocks in your product and to be able to profit from all the hard work and great idea you had to make a product better. The importance of this is without the stock market not many people could support your invention and reap the rewards of it. The third one is financial management, this is where you need to see your profits and not spend more than you’re actually making. The function of it is to know how much it takes to make and advertise and how much everyone makes off your idea. The importance of this is that without it you could end up going into debt because you’re not managing your finances properly and could end up going bankrupt if you’re not careful. Last there...
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...am looking at obtaining a source of funding to finance the early stages of my business. My goal is to create a successful, profitable and diverse business that will thrive in the current economy and continue to grow and expand over time, one very important goal that must be achieved is to build the company in such a way that as the economy, technology and consumer demands change our company will be able to change and adapt with minimal interruption. Obviously the key to this plan is to obtain funding so that the groundwork for my long term vision can be laid and for this I have chosen to borrow money from a lender in the form of a business loan. This is a very important step and I have given very careful consideration to all possible ways of funding my company and believe this is the best option. Now I have made a decision on funding I need to decide on exactly how much money I need to borrow. Borrowing too little could have major consequences leaving my business short on resources which would severely impact our ability to function and prosper. Borrowing too much could put a heavy burden on the business when it comes to repayments leaving the business short of needed funds to continue operation. I strongly believe that with the current market showing growth of two percent annually this is more than enough to easily satisfy all loan payments while having enough left over to honor any other debts and operational expenses as well as funding our own future growth even if the annual...
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...Environments of Business – Funding A Business Venture Susan Blanks AIU Online Abstract After Susan had made the decision to license her technology as a means of funding her business, she had to decide what type of licensing contract she wanted. She decided that she would negotiate a contract for a combination of an up-front fixed fee and a per unit output royalty. She made this decision based on the fact that she and the licensee would be competitors and the realization that the threat of imitation was credible and that the cost of imitation was positive. She knew that because her technology was going to improve the licensee’s profits that she would benefit financially as well. She chose to license her technology in the domestic market because she discovered that depending on the county, government policy might prevent competition in the licensee’s market. Susan knew that this was just the beginning and that she still had a lot to investigate and learn, but she felt up to the challenge. She was amazed to discover that there was so many avenues one could take when trying to fund a business. My preferred source of funding is to license the technology. Unit 2_Glossary.pdf, when a company develops a special, unique, technology it will frequently allow other firms to license that invention, in return for giving the firm, which developed it, a share of the revenues the second firm earns. I chose this source of funding because I didn’t want to borrow from a bank because...
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...BUSN105 - 1304B - 23 Funding Your Own Business The importance of an investment banker is what they do. They are important due to the fact that they are of services that offer to the economy. They offer advice for economic dealings, for example, acquisitions and mergers for businesses. When a business retails new securities in order to increase funds, the representative has the responsibility to the actual buyer for these securities. The investment banker in turn would purchase securities from business and arrange a speedy resell of the securities to the investor’s bankers in order to, investigate research, analyze, distribute and underwrite. Typically, an investment banker will perform all of these functions, although some investment bankers are experts in certain areas. Investment banking assist in businesses with raising monies. It offers investment opportunities to the person or group of people. Most of the businesses develop consultative services from the investment banker in regards to mergers, divestiture and acquisitions. Additionally, due to the importance of the roles that are played of investment banker, the commercial banks do not execute these roles. (Morrison A. 1997). A stock market is an open market that trades the businesses stock or shares. The stock markets function is where the businesses can raise monies for their business by allotting shares to the investor. Furthermore, whereas the investor can buy or sell these shares. Business in turn will benefit...
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...AND FUNDING 1 Business and Funding American Intercontinental University BUSINESS AND FUNDING 2 Abstract When it comes to business there is always more to learn. This weeks paper will look at a couple very important terms having to do with business management; investment banker, stock market, financial management, and risk financing. The paper will take a brief look at the function and importance of each of these terms and how they apply to business. I will also discuss how I will fund my new business venture, and why I choose that way of funding. There are a variety of ways to fund a business including borrowing from friends and family or even seeking out investors. There is no right or wrong way to fund your business, just what way works best for you and your situation. BUSINESS AND FUNDING 3 Funding a Small Business Venture Previously I discussed the way in which I wanted to run my business. I chose to run my new small business as a sole proprietor. As a sole proprietor I will run my own business and be taxed at a personal income level, and I personally am liable for all business debt (The Ultimate Resource, 2009). I will give you a brief reminder of my situation, I am starting my own small business for a new product I invented, and I believe this product can be used for a wide range of applications. I am very new to the business world...
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...Memo and Business Letter Student’s Name: Institution: Memo TO: CSU Funding campaign team members FROM: Yuqing and William DATE: February 5, 2014 SUBJECT: Funding for CSU This memo is a reminder of the meeting we have today. The agenda of the meeting is to talk about what we discussed and to get opinions on the matter. As the campaign group for the CSU funding, it is proper that we use all means and to gather all that is in our disposal for the task. We discussed on how we can acquire funding, and we agreed that we should not limit our campaign to only seeking finances. The essence of this program is to help increase CSU’s finances so that it can services its activities. This can be achieved through the provision finances and by enforcing measures to cut down costs. CSU has tried such measures, in the past, to cut down on its spending. It has done so by increasing its technology use to replace costly manual systems and by sharing services between departments and campuses. In our discussion, we suggested on the same idea that campaigning for funding does not exclusively mean seeking funds. We, therefore, discussed that if we can get people to volunteer, tutor or pursue internship programs, it would be a good measure of cutting down costs. Salary expenses are a significant part of the overall expenses and reducing these costs saves a lot of money for CSU. We also proposed that the target audience, for this plan of the campaign, is the graduates. Students do not have...
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...How To Prepare and Present a Successful Business Funding Request EVERY BUSINESS NEEDS CAPITAL Successful businesses are well planned and well capitalized. Being well capitalized means having the ability to access capital when your business needs it. Being well planned is the first step towards being well capitalized. The Cost of Capital I have watched many entrepreneurs lose valuable opportunities because they thought the cost of capital was too high. They spent too much time negotiating over the cost of the money, while their window of opportunity closed. The cost of capital should only be a consideration of the function of losses sustained by not having it. Simply put, if it costs you one dollar in order to make two, are you ahead or behind? What this book will do for you The objectives of this book are to help you • Analyze your market, the competition, and your financials, • Identify your strengths, weaknesses, and strategies, • Establish how much money you will need and when, • Determine the type of capital you will most likely qualify for, • Define what information you need to present to Lenders or Investors, • Package your request for your best chance of success, • Establish the format and flow of your presentation, • Direct you to the Funding Sources that offer exactly what you need, (If you don't know where to send your request, what is the point of all this?) Libraries and bookstores are full of financial "How To Books" and I highly recommend you read as many as...
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...Business Research: Part I Funding is an essential and key element to any business. Whether a home-based or multimillion dollar industry everything within business comes down to funding. Therefore; Lack of funding is the most common problem amongst businesses. Learning Team “A” will not only explore questions to determine the cause of the problem, but also the team will consider alternate variables to resolve this situation. Having the ability to manage a lack of funding is one of the most challenging problems for management. Purpose of Research The purpose of conducting research is for the company to determine what factors may contribute to the company’s lack of funding. Without the use of research to determine the cause, the company has perceptions and theories with no solid evidence to determine the problem and a cause for the problem. Additionally, conducting research into the problem and possible causes could lead the organization to finding solutions to combat the problem. Research Questions The management dilemma is the lack of funding available for organization. The questions that management will ask during its research are how can the management of the organization solve the lack of funding? The main research question is, what can management do to increase the funding for the organization? What can the management change in the organization’s budget to make the funding sufficient? The question to investigate is why has funding decreased and what effect does this...
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...compared with their old method. Volkswagen established a Project Management Office (PMO) and required business units to prepare the list of proposed projects at the beginning of the year. This was a great first step in highlighting the similarities amongst the projects prior to budgets being set and work being done. It also identified the dependencies of projects on one another and allowed some to be de-scoped for subsequent years. In turn, this reduced the estimated cost from $210 million to $170 million. In phase 2, business units prepared a more formal proposal with information such costs, benefits and how the project links to a business/enterprise goal. While not embraced entirely by some of the groups, this was a good method for aligning IT projects with business strategy. By documenting a more formal proposal, Volkswagen was able to use this detailed information to help narrow down and prioritize projects. During phase 3, executives were asked to indicate the top three projects for the year. These would most likely be applied to the majority of the budget and any other projects would have to figure out a way to get funding or place projects on hold for a year. This more organized structure of prioritizing projects is substantially better than throwing darts in the dark. This process allows Volkswagen to make informed decisions and clearly align projects with the business strategy. Overall, our assessment of the new process is that this is the right direction and can always...
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...primary concerns at VWoA: defining governance and establishing development process directives. However, Matulovic is in a difficult situation; he faces inadequate funding, new business architecture and increasing pressure from his peers. His circumstances are predictable given the history of IT consideration, by VWoA, as a source of overhead and the highly unpredictable U.S. market for Volkswagon Group. Matulovic’s biggest hurdle is in regards to the capped funding that has been determined by the parent company (Volkswagon Audi Group). VWAG allotted VWoA only $60 million, out of the requested $210 million, for IT projects. Given the scope of VWoA initiatives, the amount is far from adequate. However, at the time, there were no additional funds available. The procedure for deciding which projects will receive funding is streamlined by a new prioritization process. This process for managing IT priorities is part of a new business architecture designed to align organizational activity with corporate goals and strategy. During the first few years of any new policy or procedure there are bound to be unforeseen complications. The largest glitch was how the new process did not account for “behind the curtain” programs such as the intercontinental Supply Flow Project. The Supply Flow Project should absolutely receive funding. The cost should not come entirely from VWoA, but allocated amongst the global Volkswagen group of companies. This project is critical to Volkswagen’s global supply...
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...FUNDING A BUSINESS VENTURE Unit 2-IP 1 THE FUNDING OF A BUSINESS RUDOLPH LUCIEN Introduction to Business BUSN105-1203B AIU July 29, 2012 FUNDING OF A BUSINESS VENTURE Unit 2-IP 2 ABSTRACT This essay will cover a list of issues facing the start of a new business and the funding of one. I will talk about the 4 terms investment banker, the stock market, financial management, risk financing, and how each one of them works. I will also discuss 1 of 3 ways that you can use when funding your business. Finally I will identify, describe, and explain everything else that deals with making a funding decision. FUNDING A BUSINESS VENTURE Unit 2-IP 3 Investment Banker Investment bankers are: They are critical figures in financial markets. They are involved in virtually all large financial transactions including mergers and acquisitions, initial public offering, and other securities offerings. An investment banker is someone who also helps companies raise capital by trading in securities and other investments. They function as: Investigation, Analysis and Research (Origination), Underwriting (Public cash offering) and Distribution. Most of the time a single investor banker performs all...
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