International Risk Term Paper Example | Topics and Well Written Essays - 2500 words

International Risk - Term Paper physical exerciseIntroduction Main Street Capital Corporation (MSCC) was founded on 9, March 2007 with a diverse dissolve agenda. The firm assists the ancestry corporations and companies by providing the long- depot debts to the middle merchandise and the lower class middle market (LMM) companies. It excessively helps the middle markets by providing them with the equity capital and tends to commence its partnership with entrepreneurs, management organizations and reputed business companies and it ordinarily grants the financing alternatives within its lower-middle-market profile (MSCC, n.p.) Such classes of companies norm totallyy generate $10-$150 million per annum and the long term debt investments are made for the companies greater than the lower-middle-market companies with respect to their business capital multitude. It seeks to bridge pecuniary hole and the open up between LMM businesses and the investment and revenue generations. With th e expanse of the MSCC, the company has debt and invested in almost 59 LMM companies till the Fall, 2012. At the end of the year 2012, the Middle Market scenario of the investments had risen up to 85 companies in total. The basic business strategies are categorized as follows 1. Delivery of the customized solution of financial problems in the LMM market. 2. Focusing and assisting the newly set up companies. 3. Invest to help multiple companies, Business firms, industries, Regional and capital markets by strictly following a pre-defined investment criteria. 4. Leveraging on strong finance sourcing groups. 5. Lower rates of debts as compared to other debt companies and banks and providing utility from long term, fixed capital and lower capital financing. (MSCC, n.p.) Owing to the expanse in the business and the investments, financial decisions, debt planning and managing the total expenditure per annum is ofcourse a very tough job and it renders the streamline of the company defenc eless to damage exposure and other risky situations. Following are the risk factors which could be predicted stochastically on the basis of the firms public presentation and subject to the economic and investment constraints, business structure and the competition with other business investment funds. The sinusoidal behavior of the economic conditions of US could be catastrophic to the performance of the firm. This rise and all in the countrys economy renders the operation of the company very risky and will obviously down trod the portfolio of the firm. Managing and deploying the capital with proficiency Competitions with other firms Referral conditions, relationships, and the maintenance of such relationships by managing and pacifying all the cliches and the rifts between client and our firm. It could be risky Rules and regulations governing the working of the firm and adversely affecting the modality in which the firm rise its capital. Money borrowing business. So the potentia l for the gain or loss is amplified and so is the risk of investment on the company Subjugated to the SBA authority regulations because of the licensing issues. Insurance rules in Germany Germans gestate in the quotation Better safe than sorry. Germany is the forefront of technology trade and hence it is also a scientific hub. Because