Business: Opening a bubble milk tea bar

1. How much money do you think you will need to raise in order to launch a startup company? This should not be the total amount of financing that the company will eventually need. It should just include the amount you need to get the business up and running and to achieve initial milestones. Please answer this question by indicating an appropriate range: 1) $0 to $50,000, 2) $50,000 to $250,000, 3) $250,000 to $500,000, 4) $500,000 to $2 million, or 5) over $2 million.

2. How would you plan to spend this money in order to create value in the business? Please indicate the percentage of the capital that you think might have to be spent to develop the product, finance fixed asset purchases, finance working capital, and pay salaries and other operating expenses

3. What types of investors do you think you should approach to raise this capital? Explain your thinking on this.

4. What percentage of the company do you think the investors might need to own in exchange for their investment? What are the implied post-money and pre-money valuations?