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1.) You are to inherit a substantial sum from a relative: which you do not wish to spend. A close friend invites you to invest

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1.) You are to inherit a substantial sum from a relative: which you do not wish to spend. A close friend invites you to invest in her start-up business, which has been trading effectively as a micro enterprise for a year: write a 1000 word appraisal of the opportunity, and the factors you should include in coming to a decision as to whether to invest. An engineering graduate, she has been running her grandparents' heating installation business - with 10 employees - mainly in commercial heating and air conditioning sectors*. The Government announces enhanced financial budgetary schemes for homeowners, in particular to switch to 'greener'sources of heating and insulation. She asks your opinion on the advisability of expanding the firm, taking on five new apprenctices/staff and starting a domestic arm of the business, around installing heat pumps and insulation in existing homes. You offer to study the proposals and write a brief commercial report, what should it contain? [Earning power - break-even analysis - fixed costs - contribution margin leverage - market conditions - government incentives - payback periods technology improvement - customer education - sources of finance] * bb this question is highly 'temperate climate' oriented - but Dubai students might substitute air filtering, cooling and/or improved insulation for 'older buildings', say 15 or more years old ... or other related technologies such as glazing or IT infrastructure ... Mauritius students, sea-level issues etc

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