Sunday 11 October 2009

Homework




Watch this and say whether Christian was right to accept the offer.

I think he was right .
He asked 80,000 pounds for his manufacturing,marketing and development.And it seems his business is running very well he just wants to expend his business .As he said he has good market and has 2 main retailers WH Smith and the other one(I cant remember) they have ordered his products .And he do imports and exports as well and one factory is in China .Which is in a very good situation. And according his expectation he can get 450,000 turnover in the 1st year and 425,000 profit .The profit is really high and he said the costs is low for each foldio which is just 0.5pound. So we can see there is a high profitability.So I suppose this is a investable business .
And first he wants 80,000 pounds and give 15% shares .So which is more than 5000 pounds for each share.But at the last the offer was 80,000 pounds for 35% shares so one share is equal more than 2000 pounds each .There is more than 3000 's difference.And he said he invested 10,000 pounds already so the share now is 100 pounds for each . So in my own view he really wants to develop his business this is a really good way to do it because the dragon could help him to achieve his goal and to cooperate with famous business person who has many experiences and knowledge is good for his business as well .And the dragon has promised he will put this product in the market very soon .
Well anyway I think 80,000 35% is worth to have this partnership.And it is the way to help his product develop.And I think he actually can accept 35% of shares off.

2 comments:

chris sivewright said...

Absolutely pointless.

chris sivewright said...

Now you write your answer - that's fine

:-)