Summary of Indo-US Ventures

Walnut Venture Associates are a group of angel investors. In 1997 the club had around a dozen individual investors, forming an “angel group”. Their primary targets are investments ranging from $250,000 to $1,000,000. This is due to the gap of capital funds initiated by the VC’s from not considering investments bellow $1 million. Also, angel investors can acquire significant equity at low cost, and help the growth of the company with their knowledge and expertise. By selecting only the most exceptional people and ideas, investments in startups can lead to massive returns on relatively small investments. As unexperienced entrepreneurs, they are a key resource to have in order to achieve quick growth, and secure the company’s early stages.

Capital can come from state and corporate pension funds, public and private endowments and personal investors

Operating cash flow was not enough to cover capital investments (this firm does not to appear to pay dividends as it does not show in the prior 3 years). The firm is financing it operations from the issuance of common stock. $23,082 was raised during the period, which is covering its investments in capital expenditures.

In the early portion of the twentieth century, there was an extraordinary surge of European empires claiming countries as their own. This outburst of imperialism spanned to Asia, Africa, and Latin America. At the cusp of this competitive era, approximately four-fifths of the earth were under European control. There are several accounts of resistances to European imperialism however, especially in Asia. This paper will explore the resistances made by India and China against European imperialism, compare the similarities of both campaigns, and contrast the techniques used in both accounts.

Our estimated cost of capital, 20.81%, is lower than Ricketts’ expected return, 30%-50%, thus the investment is worthy. However, it’s higher than other pessimistic members’ expected return, 10%-15%, making the decision more complex and requiring further valuation。

Company issues 15,000 shares of stock @ $200 per share to raise $3,000,000 in capital with 5% return (cost of equity)

Hart Venture Capital (HVC) specializes in providing venture capital for software development and Internet applications. Currently HVC has two investment opportunities: (1) Security Systems, a firm that needs additional capital to develop an Internet security software package, and (2) Market Analysis, a market research company that needs additional capital to develop a software package for conducting customer satisfaction surveys. In exchange for the Security Systems stock, the firm has asked HVC to provide $600,000 in year 1, $600,000 in year 2, and $350,000 in year 3. In exchange of their stock, Market Analysis has asked HVC to provide $500,000 in year 1, $350,000 in year 2,

One of the major risks facing Telco is their CEO is 70 years old and his son being the CTO could give rise to a conflict of interest. Bryant Dunetz had agreed to step down and allow Valhalla to search for a new CEO. This could be a risky endeavor because Dunetz may either refuse to step down after negotiations or the new CEO may not be a good fit. The other two major risk factors is they do not have a strong executive management team and their competition in this market space is ramping up and soon they will not be the top solutions provider for large corporate telecom equipment and services. With Valhalla having only 25% of the voting rights in the company after the capital issue, they may not have the ability to force their way with the future management. Meanwhile the average time of determining success of a venture capital investment is 18 months. Replacing the entire management team and vetting that process out would take up a significant chunk of that time. Lastly, Valhalla does have to move quickly to get Telco the capital they need to gain as much market share as quickly as possible. The

Apex Investment Partners was founded in 1987 by James A. Johnson and the First Analysis Corporation. In its eight-year life, the VC had raised three funds. The two first which are already closed had, together, a committed capital of around $70M. There were mainly concentrated in four areas: • • • • Telecommunication, information technology and software. Environmental and industrial productivity-related technologies. Consumer products and specialty retail. Health-care and related technologies.

Introduces the concepts of finance. Reviews the basic tools and their use for making financial decisions. Explains how to measure and compare risks across investment opportunities. Analyzes how the firm chooses the set of securities it will issue to raise capital from investors as well as how the firm’s capital structure is formed. Examines how the choice of capital structure affects the value of the firm. Presents valuation and integrate risk, return and the firm’s choice of capital structure.

The total amount of the investment is worth $7 million and is invested by the below parties:

iii. Can this project be financed with current cash flow from the company? Why or why not?

One of the methods utilized by this company is an asset allocation model, this model offers the clients multiple strategies they can use such as investing in growth fund this plan does not have much payout for the investor and the risk is higher. The next is Income fund

Walnut Venture Associates is a small group of angel investors with backgrounds in the software industry. RBS is a small software company that makes billing and enterprise management software specifically targeted at other software companies. RBS and Walnut are deciding whether Walnut should invest in RBS, and then if they are willing, whether RBS finds the terms of the deal satisfactory. This case memo illustrates that the venture capitalists are looking for good managers in a particular industry, while entrepreneurs typically think funding is dependent on having a good idea. It also discusses why or why not RBS and Walnut might be a good fit for each other.

Every business needs some form of capital investment hence the need for entrepreneurs to identify reliable sources of financing. The chameleon shoes venture, being a new business opportunity will require reliable sources of capital. In fact, the chameleon shoes business will require finances to purchase assets and for its working capital operations. As such, this paper seeks to explore various sources of capital with particular interest on venture capital as well as their pros and cons.