i3 Consulting has offered Annu Grover $10 million in exchange for a 50% ownership share in his company,Nurturing Green. While Mr. Grover needs this capital to fund Nurturing Greens growth, he believes that $10million is appropriate for a 40%, not 50%, ownership share. Mr. Grover wants to negotiate with i3 Consulting toget what he wants out of this deal, but he must enter the negotiations with realistic expectations and a list ofbargaining points he can offer to improve i3 Consultings valuation of Nurturing Green.

From i3 Consultings point of view, what potential problems can arise with a purchase of Nurturing Greenbecause of these differences?