Chapter 19, Section 2: Obtaining Financing and Growth Finance

• Economie

Give the terms

tasrt pu  stocs

Objectives

Describe each of the start up costs 

Analyze the calculation of start up capital needs

Debate on alternative energy  and its future

Before you start your business, you must purchase capital expenditures such as furniture. Some of the start costs are-

1.Lease and security deposit

2.Furniture , Fixtures and equipments

3.Promotion expenses and
office supplies

4.Fees and licenses

What is Initial advertising and promotion
expenses include signs, business cards, and brochures.?

1. Promotion expenses and office supplies
2. Furniture , fixture and equipments
3. Lease and security deposit
4. Fees and licenses

Fill in the blanks
Most leases require the advance
payment of a _______ deposit to
the landlord.

Name the following
Start-up businesses need funds to pay for accounting and legal fees, which may include permits and licenses.

Calculating Start up capital needs

You already know you can acquire money to start or grow your

business. Now you need to calculate exactly how much money your business requires. To do this, you will have to estimate start-up costs, which include capital expenditures, working capital (operating costs), and contingency funds.

What are those costs you incur before you start the business?

1. Capital
2. Stock
3. Start up Costs
4. Venture capital

What is the cost to purchase or lease equipment and facilities.?

1. Start up
2. Capital Expenditure
3. Expenditure
4. Venture capital

Why do people need working capital?

What are the benefits of contingency funds?

Alternative energy

Venture capitalists are looking to invest in clean energy start-up companies. Research the various forms of clean energy, including solar, wind, tides, and thermal. Identify the pros and cons of each and tell which you think will become more important in the future.

Answer the previous question here.

Give the important points of the lesson