Though there are many sources of capital, the option available for this firm is the personal saving from the partners. The members will provide both financial and capital goods. After the contribution, each member will be given certain of the personal contribution.
The minimum capital the firm requires is $500, 000. In case the partners’ contribution does not reach this value, the firm will borrow funds from the financial institution offering loans at the lowest rates. The US economy is presently recovering from the famous global meltdown that occurred after the busting of the housing bubble. Therefore, this firm has to employ a financial consultant who will advise the investors about good financial decisions.
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