Question

Research the Internet or the Strayer Library for a technology business that seems like it would need funding from an equity source. Be prepared to discuss this.

Answer 1

Companies run on capital and there are various sources through which a company can carter for its funding needs. Equity funding is one of the options that people tend to look forward to due to its high potential and benefits. Equity funding is the process of raising capital through the sale of shares to people. Companies raise money by selling shares that is actually sell part ownership in their company in return for cash.

Findings in such ways can come from many sources such as entrepreneur's friends and family, investors, or an initial public offering (IPO) i.e. listing on stock exchange.

Mostly startup companies require funding from various sources, equity being one. One such technology based company is "BUSY" an Accounting Software startup company that provides Future Scope of Accounting Software for Small and Medium Enterprises. The main focus of this company would be "Automated accounting" integrating with existing software leads to the seamless capture of transactions. Automated accounting technology adds an additional layer of efficiency.

Such an initiative can be a game changer in the fields of accounting if carried out effectively and this would require a full team of technical staff and back end employees available 24X7 along with a strong marketing strategy. This would take in lot of efforts and capital but can generate good amount of returns if it gets a stable capital base which is possible via equity investments.