Auto Kings Case Study
INTRODUCTION
This research is about the different sources of finances for Auto Kings, and how they can be implemented to help the business move in a positive direction and carry out projects. Through the research I will be able to recommend suitable suggestions to help the business to make better profit. I will also show you good and bad ideas that can be chosen to help with financing. Financing is the process by which funds are gained by the business to carry out activities, invest or making purchases (Investopedia.com, 2015). As stated by (Jennings and Media, 2015), there are many different sources of finance that Auto Kings can use but for every one has advantages and disadvantages.
TASK 1: AC 1.1 Identify the sources of finance available to …show more content…
Venture Capitalists usually have good business connections, good decision making skills and these characteristics will help Auto Kings’ expansion project (Kunigis, 2015).
KEY POINTS FOR SELECTING VENTURE CAPITAL AS SOURCE OF FINANCE FOR AUTO KINGS
Personal investments in Auto Kings can show shareholders that you value your business and have faith in its expansion. I believe Auto Kings can expand and gain more than money by looking to a venture capital as a finance source. The rationale for the selection is provided by Boundless Finance (2015):
1) Companies can acquire a larger sums of capital which would not be available through bank loans or other more conventional methods.
2) Venture capitalists deliver expertise and connections which will be valuable to Auto Kings.
3) While, accounting and legal costs make getting a Venture Capital deal a difficult process, once this deal is secured, the Venture Capital investors will be very engaged in assisting the company's strategic direction. This will be good for the long-term development of the business.
4) The venture capitalists can help the business to get exposed on the market and win more
This research is about the different sources of finances for Auto Kings, and how they can be implemented to help the business move in a positive direction and carry out projects. Through the research I will be able to recommend suitable suggestions to help the business to make better profit. I will also show you good and bad ideas that can be chosen to help with financing. Financing is the process by which funds are gained by the business to carry out activities, invest or making purchases (Investopedia.com, 2015). As stated by (Jennings and Media, 2015), there are many different sources of finance that Auto Kings can use but for every one has advantages and disadvantages.
TASK 1: AC 1.1 Identify the sources of finance available to …show more content…
Venture Capitalists usually have good business connections, good decision making skills and these characteristics will help Auto Kings’ expansion project (Kunigis, 2015).
KEY POINTS FOR SELECTING VENTURE CAPITAL AS SOURCE OF FINANCE FOR AUTO KINGS
Personal investments in Auto Kings can show shareholders that you value your business and have faith in its expansion. I believe Auto Kings can expand and gain more than money by looking to a venture capital as a finance source. The rationale for the selection is provided by Boundless Finance (2015):
1) Companies can acquire a larger sums of capital which would not be available through bank loans or other more conventional methods.
2) Venture capitalists deliver expertise and connections which will be valuable to Auto Kings.
3) While, accounting and legal costs make getting a Venture Capital deal a difficult process, once this deal is secured, the Venture Capital investors will be very engaged in assisting the company's strategic direction. This will be good for the long-term development of the business.
4) The venture capitalists can help the business to get exposed on the market and win more