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Principles Of Finance

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Running Head: PRINCIPLES OF FINANCE Principles of Finance Student’s name: Institution-affiliated: Professor’s name: Date: 1 PRINCIPLES OF FINANCE 2 1: I believe it all depend on the type of business whether small or business that have a chance of growing as well as expanding all over the country or worldwide. It’s not better for the organization to give up part of the ownership in the company or to seek straight debt outside the company. The most problematic financing task is raising equity although it is the most required after form of financing. Equity financing is the needed form of financing since the business does not begin with creating income right away as it is started. Therefore, having debt structure at that time will generate extra problem on the company as it need a consistent payment of interest along with installments (Botosan, 2015). Equity financing does not need any collateral. Thus equity financing is much needed at the first stage of any business. 2: Organizations use social media along with internet in giving out their message to the people that are online. The benefit of employing internet is that it is cost effectiveness, duration as well as mass coverage that the traditional mediums don’t have in all features (Kolb, 2016). Despite of the message delivered to the mass, using social media is omnipresent. As a venture capitalist I will use social media in targeting people interested to invest into a business model that is fairly innovative a ...
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