Question: Do you agree with the posted below? why? How much capital is needed to start business? Specify how you determined this amount? 1.Determining the type

Do you agree with the posted below? why?

How much capital is needed to start business? Specify how you determined this amount?

1.Determining the type of activity, for example, a contracting company project needs a larger factor because of the length of time required for the start of revenue entry due to the length of the engineering design and manufacturing period, here the working capital is estimated by estimating the period required for marketing and then estimating the expected period for designing and manufacturing the first project The company gets it and then an estimate of the value of the projects that can be obtained at the beginning of the company's life, which of course will not be great.

2. machinery technology .. where the more, the more, the more, the more, the more the factory workers need

3. The schedule of repayment of the loan installments of the donors, especially if the first installments are paid at the beginning of the life of the company.

4. taking into account the prevailing economic situation at the time of establishing the company .. Depression periods require more capital due to the scarcity of projects and poor collection.

So we can put a big budget starting from a million dollar, that all depends on the starting expenses and what type of project it is

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!