Whole Foods financial recommendation for the next 2 years - Case Study Example

SALE OF SHARES FOR FUNDS RAISING: To achieve the d strategic objectives in and Whole foods is required to raise its capital funding. The funding may be obtained by a number of methods. One of the most common methods of funds raising is the issuance of shares. However, there are number of modes in which shares may be issued and sold.One of the most common modes available for issue of shares is by inviting general public to purchase the company’s shares. However, before issuing such an invitation, it is necessary for the Whole foods to get itself quoted on Stock Exchange.

After obtaining such quotation, it can issue its shares to the public. This is the easiest way of raising funds.It is to be noted that issuing shares to general public will increase the number of shareholders (or owners) of Whole foods. To limit the number of owners to a reasonable level, Whole foods may issue shares to its existing shareholders only. Such an issue of shares is called ‘Right Issue’.However, the number of shares and their price will vary according to the finance needs and the goodwill and rating of Whole foods.

EMPLOYEE STOCK PURCHASE PLANS AND 401(K) PLAN:One way of increasing capital funding is to offer employee stock purchase. This is a plan in which active employees are offered by the corporation to purchase shares of the company at a discounted price, one additional benefit which may be achieve through this plan is the increase in efficiency of the prospective employees. This plan may be created by encouraging employees to contribute to the plan. Offering high discount rates of up to 15% may also be helpful in making the plan effective.

Similarly, devising good 401k plan will encourage employees to contribute to 401k account which may be used for the business global expansion. However, these plans, implementation largely depends on the interest and abilities of contribution by the prospective employees of Whole foods.REFERENCES1. Retrieved from a FAO Corporate Document RepositoryAgriculture and consumer protection. Chapter 7- Sources of Finance. Retrieved from http://www.fao.org/docrep/W4343E/w4343e08.htm2. Retrieved from Investor GuideLeo, S.

Maximize Your Employee Stock Purchase Plan (ESPP). Retrieved from http://www.investorguide.com/igu-article-503-employee-stock-options-maximize-your-employee-stock-purchase-plan-espp.html