ICampus: download example + six questions (9am to 6pm end) Doyen A015 to A023: we certainly have the locals: tell him whatever we want (we have to publication the locals) Entrepreneurial financial Different case studies cover the 4 parts (follow the GOING PUBLIC of Facebook) Project assessment: some toughts on strategy case research: the knots and cachet tehnologies Launch All these elements fits with each other. Business plan has to be written. Not really a real predictor for success. People: ask you some inquiries Deal: just as you do for edocs.
Introduction Key elements that predict success. * Team : you need good managers
Not only a good team but a team that fits with the project * Are you able to defend or create a competitive advantage? Is it special? Are people ready to pay for it? =>KEY 2. You have to know the different steps 5. How to draw out value? You must make money! Which key. One example is: Facebook: out of your market in 5 season? Maybe. Not really succeeding about smartphones! Are they ready to generate profits? Extract cash from your consumers? * Context * Deals should have the rights incentives.
You have to find the right partner who ad value not only funding. * .. People To success you need the right person.
For example: cachet technologies: lack of management. Opportunity Market: what is the size of the market? The growth rate? Attractiveness of industry: obvious¦ Customers: Selling price is not a production cost + margin. It’s what your customer is ready to pay. When your able to produce this at a lower cost, you make a margin. What is the cost to acquire a new customer? Important. And how to retain a customer? Difficult or not? Competition: Very good market and customers BUT maybe the competition is very hard. Chance of success will be maybe very low. Pay attention. Graphical tools to understand a business model
Sales forecast ” selling price ” cost =>makes you able to calculate the future earnings. Usely it can be like for the graph. Situation 1 is actually you expect but in real life it can usely scenario two (more time to produce money) or perhaps scenario 3. When you discuss you first funding, you know you will want a second rounded (scenario 2). (Give never to much right in the first round towards the funding persons) What’s acceptable? Context 2. Legality? * Today is usually not the best market to make money as well as to go to a great IPO 2. Today? I think smartphones is definitely an opportunity. Deals Find the right spouse! He may know what you are doing.
People have to understand the terms. * Because you need the right offers. The two parties have to be secure. *.. 2… * The right incentive: the money of the businessman is in collection with the achievement of the organization. He has to share the achievements of the company. As well as to lose all his money in case of not success. *.. Case studies The Knot * We asked us these types of questions. Nobody had knowledge in retail services¦ * Barriers intended for entry had been very low thus they need to create a brand. *.. * Net was a very fast growing industry. * 1997: a lot of venture capitalist were incredibly active to shell out their money online. Today?
Two sectors. Biotechnology (here in LLN! ) & Green energy? (funding comes more by state etc . ) & applications about smart phones. 2. Basic theory: the source valuable is cash flow! What is the capacity of this company to generate earnings! You cannot worth a company when you say we all will have one particular million consumers. Like Facebook¦ 100 billion¦ Where comes the value via? Not from the cash flow they may be making today. They make one particular billion cashflow today¦ You need to pay 100 times this kind of? They want to raise 10 billion in their IPO (22-28 ¬ per share) It could seem sensible if they will made a cash flow of 15 billion/year.
Is Fb capable? If you would like to speculate, earnings does not matter. When you want to spend, look at the funds flows. (here, in the course, we think investors) Types of investments: the businessman needs to reveal to business success. Is actually like an option. Preferred descapotable. Founder: 100 VC: 90 If <100 all the money goes to the VC (they safeguard themselves) 5. Or you failed: the VC takes every te money and sell your business Or you be successful and the VC helps you with your IPO. There isn't really a scenario between the two. Cachet Technology Main issue: do we continue the task? Dilemma: Two options:
one particular