New World Computing's New Business Idea
From: Casey Hampton, Consultant (Vidhan Jain)
Subject: Consultation report
Working on a new, innovative and an easy to use product in the form of Pulse in the growing market of medical technology, New World Computing has tapped what is a very promising business idea. With limited competition and superior product design, the firm has immense potential to mass market its product and to reap the benefits of the growing medical information system industry.
While Rosenberg Minsker and our team continue to remain optimistic about the prospects and continue to pitch to new clients, we have not been able to deliver the promised packages on time and fulfill …show more content…
Issues and Concerns:
New World Computing is facing financial problems at the moment. Certain mistakes have been made with regards to the management of the company and negotiations of contractual obligations which have contributed towards putting New World in this predicament. Currently, New World requires an additional $100,000 to fund its operations.
While going through the literature for technology start-ups, I read through an article which described a few key variables which contribute to a start-ups success or failure. I believe this article provided valuable insight and can be used to understand New World current situation. I have thus considered few of these variables and analyzed where we stand and where some mistakes may have been made. Some of the variables described in the article include:
Record Keeping and financial control: It is widely believed that firms that do no keep updated accurate records and lack adequate financial controls have a greater chance of failure than those that do. Based on Laura’s report, some mistakes have been made by the management in this regard.
(Start up Business Advice; blackboard)
For instance, although the management retained a local CPA firm to prepare financial statements for the first fiscal year, there were no interim financial reports for that year. Laura has also expressed concern about the lack of up to date information regarding the