Ebook Sample Content Preview:
Although extensive studies are usually conducted before deciding to invest in a particular business entity, there is no collateral asked for or given, to provide for any assurance toward the capital invested. This sort of risk is seemingly quite silly but for most investors such risks is heavily weighted against the prospects of considerable profits and controlling participation in the invested business.
Another risk in this type of investment arm is that there is no stability to count on, thus effectively depending entirely on the integrity of those involved to create the intended positive profits churning results. On paper, all the necessary points of the business entity may present very little or no problems at all, however when actual operations are up and running, this seemingly problem free business engine can start to cause unforeseen problems. This then will eventually eat into the finances originally set aside for the business entity, which may then lead to even further unforeseen setbacks. All this will add to the already preexisting risk factors that capital investors are used to.
If the capital venture group is not really savvy in the area chosen then there is also a possibility of making a less than desirable choice in when it comes to identifying viable business prospects. Without the very valuable business background in a particular field taking calculated risks to invest without prior knowledge of the workings that would involve such a choice would be rather disastrous indeed. Being ill advised can also add to the heightened risk ratio for the capital investor.
- File Size:8,032 KB
- License: Giveaway Rights
- Category:Ebooks
- Tags:2013 Ebooks Give Away Rights