how much equity investment is advisable for a business proposal ?
823264
This sounds unfavorable, simply because it is too good to be true. \n\n\nFirst. Your math is a bit suspect.  IRR is the discount rate so that the NPV equals the future cash flows.  16% return over 7 years equalling 3.6m and 5.4m at 9%, but you're getting it for 4.6m which indicats an IRR somewhere in the teens. \n\nSecondly, the IRR seems to high for a power plant.  Typically, Independent Power Producers tend to have take-or-pay cost-plus contracts with low yields (roughly 3-5%). Since cost-plus takes out most of the operating risk, it is low return (but can be enhanced through leverage).  Your IRR is basically "too good to be true", which makes me think that the contract is not cost-plus (e.g. pre-schedule pricing with a mismatch in revenues/costs where you bear price risk on fuel) or is in a situation where there are other mitigating factors (e.g. unstable government, lack of reliable legal system). \n\nIf it is not cost-plus, you will need to hedge away price risk on your fuel.  Since futures contracts don't go out 7 years, let alone 21, you would need to secure in deliverable forwards - or preferrably in actually buying a fuel (e.g. coal commitment, natural gas line) due to default risk. \n\nAlso, how do you plan on exiting this investment unless you structure a put in the equity injection?
494207
I'd start with 5% on top of the seller fees.\n\ncheck out the link below for more info...\n\nhttp://www.entrepreneur.com/article/0,4621,316352,00.html
509518
Probably depends on the metro area you live in, and how much you invest into your business.\n\nThe first site cited below says $75,00-150,000, before all the overhead is subtracted.
700861
As long as you are comfortable with giving up your equity, then go for angel investors and VCs.\n\nBusiness 2.0  http://money.cnn.com/2006/02/28/magazines/business2/angelinvestor/index.htm has a very good article on angel investors, what they typically look for, what kind of investments they support, etc.\n\nYou may want to go and pitch your ideas where investors gather. Here are some places where angel investors come and those looking for funding can come and pitch their business plans. Be sure to have a strong business plan and describe what makes your business idea stand apart:\n\nAngel Capital Association http://www.angelcapitalassociation.org\nAngel's Forum http://www.angelsforum.com \nBand of Angels http://www.bandangels.com \nCommon Angels http://www.commonangels.com \nKeiretsu Forum http://www.k4forum.com \nLaunchpad Venture Group http://www.launchpadventuregroup.com\nNew World Angels http://www.newworldangels.com \nNew York Angels http://www.newyorkangels.com \nRobin Hood Ventures http://www.robinhoodventures.com (charges $250)\n\nAs for venture capitalists, you may want to check various directories that can help you find them\n\nhttp://www.vfinance.com/\nhttp://www.vcaonline.com/directory/invdir.asp
935243
If you are looking for that much amount, I suggest you check out the loan guarantees provided by the Small Business Administration http://www.sba.gov/financing . \n\nCheck the SBA list of requirements for borrowers, among them, collateral, your own equity investment (even SBA does not give out 100% of the amount you need, possibly about 80% at most),
95637
it purely depends on the amount of money you've recieved as to be too practicle i am myself engaged in a home base bussiness which requires an investment of US$ 140 with an assured return of US $50,000(minimum) after 12 months if intrested then mail me at delete_insert_shoot@yahoo.com
461762
I would try to find a local investor. I've started 3 companies and you do not want capital venture firms giving you money. Find a local businessman or company to invest. 200-500k is a very small investment. Just make sure you have an attorney look over the documents before signing anything if you find an investor. If I didn't have a law degree, I wouldn't have noticed many of the stipulations. You can get screwed pretty easily and end up only owning 30-40% of the company you worked so hard to start.
448528
I wouldn't advise asking for an investment advise on Yahoo Answers or any other board.  Consider consulting a professional when it comes to such decisions unless you have money to throw away in which case just buy hisc and hope for the best :)\n\nAleks
361100
That would depend on the business type. Can you clarify?
669953
You need to rethink your question...Are you talking about Private Equity investing?  Starting your own business? Consulting in private sector?  Without this information, your answers will be limited in scope and might not apply.
598855
I am a business consultant in Vancouver, but there are some great sources on entrepreneurship in TO.  Since you want to cover your *** - do not start a partnership but rather start a corporation. Partnerships can expose you to 'joint and several liability' This means both partners can be held liable for all the liabilities.  Since you are going into this with someone else (more than one shareholder) you should see a lawyer.  He or she will advise you on the best structure, shareholders agreement and importantly a buy sell agreement.
156829
It depends on the equity later on down the road. Does the \n\nproperty hold value? Is this the only place you have \n\nlooked? It is your investment which you would need to think \n\nabout- it not just a yes or no answer.
8402
I recommend coming up with realistic investment goals
834772
Either as long as you can trust your partner and you draw up contracts if entering into a partnership.  May also be worth considering setting up a limited company as you can do this with a small business, and at least then you will not be personally liable if things do not go according to plan with your business idea.  Good Luck!
891907
1st, I suggest you give up no more than 70% of your stock options.  Never 50%, I hate to see you have something ripped from under you do to a technicality in who has put more investment in the company based on collateral.  Talking with an appropriate attorney regarding finacial possibilities = + as well as drawing up a contract with those of whom you distribute your stock to so as to bar liability for losses as well as investing in your interest for gains.  Good LUCK!
439834
If you can secure it to a point where they wont lose their money in the event your business should lose again. Exit strategies and security ,along with nice above average returns. Although this is just based on what you are stating here. If you want to discuss options further email me at bizconsultant2000@yahoo.com
312020
Financing a business has many options. However, before you reach this stage it is a good practise to draw up a business plan, to ascertain that you are talking of something feasible. It will give you an idea what kind of capital you require, what overdraft facilities you will need. With this information, if you approach any major bank they will make a risk assessment of your proposal and tell you how much/how little you can borrow.