Question
There is a common phrase in business: cash is king. Assume you are the CFO of a struggling company and the company may have to
There is a common phrase in business: cash is king. Assume you are the CFO of a struggling company and the company may have to take risks that could potentially jeopardize its cash flow. Cash flow is the life-blood of a company. Without it, a company will fail" (Hicks, 2012). While you do have a positive cash flow, if something does not change soon, the company will go bankrupt. Fortunately, your product development team has just created a new product that will not only save the company from financial demise but will also revolutionize how the industry does business. The problem is that the product still needs time being able to be sold to the public, and you will run out of cash within the next 6 months. How would you propose obtaining the funds needed to keep the company alive and thriving? How would you raise the additional fund needed and minimize your cost of capital? Share your personal strategy and comments on others.
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