Week 8 Question 1 Venture Capital Assignment Example | Topics and Well Written Essays - 250 words

Week 8 Question 1 Venture Capital - Assignment Example The organization was making arrangements of propelling new items and required a lot of cash and funding was the best choice for the organization (Metrick and Yasuda, 2010). The investors that financed the activities of the organization were predominantly from the field of medicinal services. Castlight Health Inc. stands to pick up from the investment since it is yet to open up to the world and around then it would have extended its activities which mean higher benefits. †¢Assess the difficulties for organizations utilizing the assets of an investor, given that noteworthy profits for the venture are probably going to be affected by the firm. Show how a business can deal with these desires. Offer help for your method of reasoning. The principle impediment of funding is that it requires a brief timeframe in creating money. This squeezes the organization and this may meddle with its every day tasks. There is additionally the component of loss of control on the grounds that the investor has made noteworthy monetary commitments in the activities of the organization (Haislip, 2010). They investor may demand selecting an agent on the administration of the organization. Be that as it may, the business can deal with the difficulties by drafting a consent to various limitations as a major aspect of the arrangement. This incorporates the measure of money to be paid and the quantity of individuals to be engaged with the supervisory group (Gladstone and Gladstone,