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Fans splash cash for hot new band

Read the article Fans splash cash for hot new band (you can do this in the window below or follow the previous link to read the article in a separate window) and then consider answers to the questions below.


Question 1

Define the term 'share issue'.

Question 2

Examine other sources of finance that Four Day Hombre could have used to finance their first album.

Question 3

Discuss the risks that investors are taking by investing in this new record label.

With the downloading and sharing of music, the internet has become an increasingly important medium to distribute music and to introduce new bands. This idea of investing in music has developed as a way for bands to finance themselves in a market that is becoming ever more competitive and difficult for the large music labels to control. The following illustrate this trend: