Discuss the below:
Pitching your Business Idea
The objectives of discussion are to help you:
-Apply the legal knowledge you've gained this month to a real world situation.
-Evaluate the characteristics, benefits and drawbacks of different kinds of legal structures in light of conducting a particular business.
-Identify an appropriate legal structure to accomplish your business objectives.
-Understand how the legal structure may impact business decisions of investors.
-Write professionally, accurately and persuasively about your business and how its legal structure can benefit potential investors.
-Use critical thinking and analysis to evaluate the quality of your classmates offerings from an early investor perspective.
Instructions:
You have formed a new company and you need more start-up funds than you have in the bank.
Write a formal business letter to a potential investor. The investor could be a relative, friend, angel investor or bank. The letter should describe the business and the legal entity, along with why you chose that form of entity. This information, including such factors as how the entity and its owners will be taxed, liability, ease of formation and ongoing management, ability to attract investors, etc., is important background information to angel investors who are as much interested in your business savvy and how they fit in to the deal as they are in your product or service.