Envy Rides Incorporated is owned by Mr Hessels and he is planning a renovation and an expansion to attract more customers and to keep the image of Envy’s Rides Inc. as high as possible. In order to make this plan possible, Mr Hessels asked for a loan to the Genesis Bank of Canada. He requested a $60.000 long-term loan for a partial renovation for his dealership and for the tattoo extension to his shop. The second is a capital loan of $450.000 for the day-to-day operations of his motorsport recreational dealership.
Envy Rides was a success due to the business talent of Mr Hessels. Because of the growing demand for Envy Rides Mr Hessels invested in Envy Rides Inc. in 2008 with an expansion and a new relocated facility. Now as the economical crisis has struck, Mr Hessels need to invest again to ensure the existence of Envy Rides. Also expanding with a tattoo shop in the Envy Rides facility is a worthy investment, due to the fact that it is not a expensive investment.
The economical crisis struck Envy Rides Inc., in the financial part of this report results show a decreasing line but Envy Rides overall performance are still acceptable. There are also ratio’s that are given in the report, that show an increasing line for example the profit margin.
The future for Envy Rides does not look too bad, even though we advise Envy Rides to find investors for Mr Hessels’ plans to expand the company. The investment will be positive for Envy Rides Inc. and if the economy is more in balance and the plans were executed, we believe that Envy Rides will come out of the crisis the same as they went in. If so, Envy Rides Inc. will be able to return the loan and therefore is a safe investment
This report also includes an economical part that will look into both the global and Canadian economy and how it has developed between 2000 and 2009. It gives an explanation to various aspects in regards to the Canadian economy and how these interfere with each other
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