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Funding body - Essay Example

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Funding body

There are other fitness centers like Manchester Aquatics center, Trinity Sports center, Manchester Central Personal Training, Jodie O’Neil fitness Coaching, Ardwick Sports Hall, Momentum Leisure Club. But the fitness center will possess some unique features which will distinguish itself from its competitors. The fitness center is totally focusing on the customer needs and demands. The fitness center is mainly featuring four activities like spinning class, Boxing, Climbing, Dancing class. These four activities were chosen based on the market research done among the students. From the above table it can be seen that nearly 160 of the total respondents like climbing wall as this activity will bring a sense of achievement among them. 140 of the total respondents like dancing class. Climbing wall and dancing class are the two highest voted activities that this fitness center is providing. In case of dancing class, based on the research it is providing yoga, Pilates, belly dance and aerobics and some modern dance like Jazz. Yoga is the most popular dance among those. More than 130 students like spinning class. 15 bicycles will be there in spinning class and the fitness center is suggesting the members to make advance reservation. The atmosphere will be as night club which will boost the energy of students. Apart from these full size rings for boxing and large screen will be provided which will help the young people to release stress. Available Institutions to Fund a Small Start-up Company When a company is yet to be formed, it tries to raise long term finance from different sources. There are mainly three types of sources from where a company can get it startup capital for long term during its inception period. Some of the funding bodies which may finance our venture are as follow:- Venture capital A young private company that is yet to start and not yet ready to go for public offerings may seek for a venture capital financing. Here comes the venture capitalist that is prepared to finance an untried concept that appears to have promising prospects. Venture capital funds support growing firms during their inception stages and before they are going for initial public offerings of shares. Firm will get venture capital as a form of equity capital. It represents a highly risky investment in the hope of earning higher return in future. It is expected that this concept will have a greater significance in the years to come. It typically invests into equity or quasi equity instruments in financial market which will be able to share the risk and profit of the investee firm. Venture capitalist not only invests in the new company but also guides the firm actively in taking major decisions. Financial burden of the assisted firm tends to be low. Venture capitalist normally close it position by liquidating the investment from the assisted firm after 7 years. (Chandra, 2011, p.436). Thus it can be said that it may help our fitness center funding. Pros and Cons of Venture Capital Financing The main important advantage of venture capital financing is the venture capitalists gamble on the new company. If the new succeeds they earn high rate of return but if the new idea fails then they absorb their losses. In case of bank loan the new firm would have to repay but here no obligations. If the business fails the new firm won’t have any burden on them. Beside this venture capital also help to grow business quickly. Without a ...Show more

Summary

Funding Body Contents Contents 2 Part1. 3 Description about the Business 3 Available Institutions to Fund a Small Start-up Company 5 Venture capital 5 Pros and Cons of Venture Capital Financing 5 Small Business Administration 7 Pros and Cons of SBA 7 Private Equity 7 Pros and Cons of Private Equity 8 Part2…
Author : auerwayne
Funding body essay example
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