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New Venture Financial and Legal Portfolio 5% A. Ascertain the point of the financial life cycle of the proposed/identified New Venture (start-up, development, growth, expansion,
New Venture Financial and Legal Portfolio 5% A. Ascertain the point of the financial life cycle of the proposed/identified New Venture (start-up, development, growth, expansion, maturity, decline/exit), substantiate your response. (10 marks) . Determine how the proposed/identified New Venture capital requirement will be financed, discuss, citing the importance of financing to the success of this new venture. (10 marks) c. Evaluate funding options available for your new ventures and describe FOUR (4) factors that influence the source of funding option selected. (Funding options available: commercial banks, small business lending agencies, development finance lending institutions, private equity, venture capital funders, asset finance houses, crowd funding, friends and families, grants local, regional or international, other Angels investors). (30 marks) Factors for consideration in selecting funding: a. Short term/long term funding b. Investment in long/short term assets c. Debt or equity d. Cost and commitment e. Strategic implications f. Level of risk D. Identify the requirements and processes to obtain the selected financing option for the new venture. (10 marks) E. Identify challenges faced in obtaining finance for new ventures and possible solutions. (10 marks) F. Prepare Personal Income and Expenditures Statements and Assets and Liabilities Statements (Balance Sheet) (20 marks)
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