MBA 574: Financing New Ventures broadly explores how entrepreneurs raise the capital they need to develop their business ideas. Methods of financing explored include “friends, family, and fools,” angel investors, private equity, venture capital, and initial public offerings. Topics covered in this course include entrepreneurship, business planning, financial analysis, cash flow management, raising capital, valuation, and investment decisions. MBA 574 strives to provide practical insights by looking at the big picture of what is involved in financing new ventures. Students are required to thoroughly evaluate multiple business plans and are expected to make investment recommendations from a pool of imaginary money. In many cases, decisions will need to be made with limited amounts of time and information. Additionally, the class will often feature entrepreneurs that are starting or growing their own businesses as guest lecturers.
COURSE OBJECTIVES
- To provide insights and understanding into the traits and behaviors of entrepreneurs.
- To evaluate business plans and make investment recommendations based on financial information, risk assumptions, valuation, and forecasting.
- To develop an understanding of cash flow, financial statements, and financial analysis as they relate to new venture formation.
- To explore the different financing options available to entrepreneurs, including debt, equity, barter, partnerships, and alliances.
- To illustrate what it is like to work in a start up, early stage, and/or rapidly growing enterprise.