Fungi can reproduce either sexually or asexually. Both ways of reproduction use tiny budding bodies called spores. These spores form at the end of certain hyphae in a ball-like sac called a sporangium. When mature the sporangium open and release the spores. The spores are tiny particles that float around in the air and are incased in a protective coating that can survive extremely hostile environments. When they land on the appropriate nutrients they germinate, growing and expanding as long as the right conditions are present.