During the Great Recession of 2008, Tesla Motors nearly collapsed and was later rescued with low interest loans provided by the U.S. government in 2009. This research paper evaluates the company’s fin..
During the Great Recession of 2008, Tesla Motors nearly collapsed and was later rescued with low interest loans provided by the U.S. government in 2009. This research paper evaluates the company’s financial strategies that lead to its rescue, and studies its current financial position in the market. This includes the financial consequences of the recession on Tesla from 2008 to 2009. The company was down to its last $9 million in cash in 2009, sold 937 cars and lost $31.5 million. In early 2010, Tesla finally decided to file for IPO for a $100 million offering. Tesla has since invested in its Model S electric sedan to generate profits upon delivery; however its stock has seen remarkable volatility since then. Tesla’s financials are analyzed over the years and compared with an evaluation of its current market position.
