Scenario:

Starting a company. My product is a software platform that integrates a wide range of media devices, including laptop computers, desktop computers, digital video recorders, and cell phones. My initial market is the student body at your university. At some point, hopefully sooner rather than later, I plan to go public with an IPO and then to buy a yacht and take off for the South Pacific. With these issues in mind, I need to answer for yourself, and potential investors, the following questions:

What is an agency relationship? When you first begin operations, assuming you are the only employee and only your money is invested in the business, would any agency conflicts exist? Explain your answer

2 .If you expanded and hired additional people to help you, might that give rise to agency problems