Larry and Simon have run a partnership for several years. The principal activity of the firm has been to operate a wine bar and restaurant. The business has been very good and they wish to expand their business interest by acquiring new premises and opening a leisure complex. They have decided to form a private limited company with themselves as majority shareholders and sole directors of the company. Larry and Simon seek your advice on the following issues:

Required

1. The new company requires a long term capital injection beyond the capital which Larry and Simon can subscribe. Which methods the company may use to invite investment and what type of capital may the company raise?