Making Finance Decsions

Assignment 1: Discussion—Making Financing Decisions

What’s the best way for a company to grow? Suppose a company would like to move from a regional company to a national presence. This would require a significant capital commitment. The standard options available to this company include issuing long-term bonds or additional stock.

There may also be other creative ways to increase market share on a national level. This might include using venture capital funding, or expansion through the use of franchising.

Required:

Assume that a company would like to grow from a regional firm to a national firm and that this will require substantial funding, as the company would be expected to double in size by the expansion project.

Discuss the various ways for a company to finance expansion or growth. Explain the pros and cons of each method and make a recommendation to the company. In your response, be sure to include a discussion of issuing long-term bonds, issuing additional stock, and securing venture capital.

By Saturday, July 2, 2016 respond to the discussion question assigned by the facilitator. Submit your response to the appropriate Discussion Area. Use the same Discussion Area to comment on your classmates' submissions and continue the discussion until Wednesday, July 6, 2016.