Case Analysis Study Example | Topics and Well Written Essays - 750 words - 8

Analysis - Case Study Example Consequently, the inventor of the business idea faces the challenge of losing full control in running the business. Nigel Galler, the founder and CEO of Movirtu Limited, faces the equal challenges in financing the expansion and development of the start-up business. One of the challenges that Movirtu Limited is facing in raising is convincing the impact investors the investment has a positive social impact on the targeted markets and is economically viable. The impact investors can only finance a business if it has the potential for empowering the impoverished communities while ensuring it is financially profitable (WDI 8). Accordingly, Movirtu Limited has to demonstrate to the impact investor namely the GreyGhostVentures (GGV) how the business will promote the welfare of the poor communities if the financing arrangement by the TLcom Capital is accepted. In addition, the business model employed in running the business by integrating TLcom Capital has to prove it is a viable business to attract the financial support from the impact investors. Another challenge that is been faced by Movirtu Limited in raising financial capital is convincing the venture capitalistic TLcom Capital on the potential of the business in generating profit in future under the social impact requirement of GGV. The financial support sustainability from the venture capitalists can only be sustained if they are convinced, the business idea will generate adequate revenue and grow in future (WDI 8). However, the target market for Movirtu Limited has high risk due to the purchasing power of the targeted consumers. In addition, the revenue margin that Movirtu Limited expects to receive from the actual price of the service compared to the financial resources consumed is considerably low. Thus, the ability of Movirtu Limited in winning the confidence of the venture capitalistic is relatively challenging. Moreover, the acceptance of venture capitalist in financing