Busn 508 Week 10 Essay

953 Words4 Pages
I think for personality and me in order to lose the control over my business and to be chosen as the CEO by the venture capitalist depends on my short term and long term plans and decisions and also to the financing of the business and how the capital will create future success. How ever a venture capitalist would invest in the business venture and would provide capital for start up or expansion and would support the small companies and they will manage the fund and will be looking for a higher rate or return than would be given by more traditional investments. When dealing with venture capitalists, remember that some of them have no experience in your business. Its sole concern is the potential rate of return of the company that can be provided. As the founder and chairman of the board, I can still be happy. There are still opportunities for me to grow and be creative. I would just want the company to continue without risk, and I can use my knowledge and skills to bring positive influence. In doing this I know I would have to step down from my business and allow the investors to decide how to invest and enhance capital thru better planning. So I would lose control over my business as the CEO but still benefit from accepting the money versus losing control. I can look at it in this way: 1. Any loans the company has, I no longer have to repay it 2. I will not have to sell or auction my business 3. No risks falls on me, only the investors 4. I can use the investor’s money to help my business grow 5. It will be the responsibility of the investors now to contacts information, resources, strategies for growing the company 6. The venture capitalists will now be assisting in the decrease of losing the business entirely A great financial plan has been created by financial managers to help keep a steady flow of money for Comet Skateboard. The company

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