Financing A Worldwide Expansion Strategy For A Limousine...

Financing a Worldwide Expansion Strategy for a Limousine...
Introduction My company has become quite successful, and is now considering an expansion. In order to facilitate this expansion, we are considering
purchasing a competitor. My company is a limousine company, and we have expanded via franchising into a number of different states and metro areas
at this point. We are considering purchasing a rival that operates mainly in areas adjacent to ours, with the objective of expanding our presence in those
markets, and building our brand. This strategy is part of a plan to grow the business nationwide. Valuation Methods There are several valuation methods
that can be used to analyze the competing company. These are adjusted book value, capitalized adjusted earnings, discounted future earnings, the cash
flow method and the gross revenue multiplier (Collin.edu, 2013). Another technique is to base the valuation on the stock market valuation of a similar
company. In this case, most limousine services are not publicly–traded, so the stock market option is not available. Thus, the optimal method will come
from the other five options. The adjusted book value of the operation is based on the idea that we are paying for the firm's book value, in particular
with the book value of the assets or the book value of the equity. This is a decent option, since we can expect to utilize our own brand, therefore the
important part of the purchase is the assets that we are acquiring, everything from cars to drivers to customer contacts. However,
... Get more on HelpWriting.net ...

Challenges Of Entrepreneurs Face At The Very Beginning Of...
Introduction to crowdfunding: An inherent problem that entrepreneurs face at the very beginning of their entrepreneurial initiative is to attract outside
capital, given the lack of collateral and sufficient cash flows and the presence of significant information asymmetry with investors. While different
investors exist for larger amounts of capital such as VC funds and banks, entrepreneurial initiatives that require much smaller amounts to start with need
to rely on friends and family or own savings. They then also make extensive use of bootstrapping techniques to mitigate their financial constraints, by
boosting their short–term profits. More recently, some entrepreneurs have started to rely on the Internet to directly seek financial help from the general
public (the "crowd") instead of approaching financial investors such as business angels, banks or venture capital funds. This technique, called
"crowdfunding".
Meaning of crowdfunding: Crowdfunding is one way that businesses can seek money to startup their businesses, finance a new product, or expand their
operations. Crowdfunding raises funds or capital by using online and social media networks to get a large number of people to contribute money
towards a project in exchange for a good, service or equity. Generally money is raised through a fundraising website such as kickstarter. Another way to
describe the meaning of crowdfunding is by the use of small amounts of capital from a large number of individuals to

Explain what sources of finance are available for small to...
Explain what sources of finance are available for small to medium sized companies and explain why they sometimes face difficulties in raising finance
1. Introduction
The SME (Small and medium enterprise) sector is one of the crucial important contributor to economic growth in terms of Gross Domestic
Product(GDP) and job creation worldwide(IFC,2010). According to OECD(2006), SMEs had created more than sixty percent of the job opportunities
for OECD countries. That situation for developing counties are even more obvious. There is no doubt that the development of SMEs is closely linked
to national economy. The growth of SME sector, however, presents a stalled tendency, even recession situation, owing to the deficiency of accessing to
... Show more content on Helpwriting.net ...
It includes trade credit, public debt, bank financing as well as nonbank financial institution debt. Unlike equity financing which would dilutes the
owner's equity, and consequently, may partly deprives the owner of control of the firm. (Abdulsaleh & Worthington, 2013). Debt financing would be a
proper approach for SMEs owners to maintain full proprietorship as well as management(Abdulsaleh & Worthington, 2013).
2.3.1 Trade credit
According to GarcГa–Teruel & MartГnez–Solano (2010), trade credit is a paying agreement which made by seller and buyer, that allow the buyer
to,in a specified period, make a deferred payment after the good or services having been provided. In this way, small firms would have a relatively
short–time to arrange its cash flow and eventually overcoming shortage of cash or funds. Moreover, trade credit would be a substitution when other
financing techniques unavailable. That is to say, small and medium firms will gain their opportunity of survival.
2.3.2 Non–bank financial institution debt
Non–bank financial institution's(NBFI) role of lending is similar as bank financing to a certain extent, their biggest differences are the mode of
borrowing audition and the length of the loan terms. Generally speaking, the loans of NBFIs are longer than the duration of the commercial

Sources of Finance
Sources of Finance
The financing of every business is the most fundamental aspect of its management. Get the financing right and the company will have a healthy
business, positive cash flows and ultimately a profitable enterprise. The financing can happen at any stage of a business 's development. On
commencement of your enterprise the business entity will need finance to start up and, later on, finance to expand.
Finance sources may be internal or external but they may also be short, medium or long term. * Short Term Finance the Business for up to One year. *
Medium Term Finance the business for up to Five years. * Long Term Finance the business for more than Five years.
A. Long and Medium Term Sources of Finance 1.... Show more content on Helpwriting.net ...
* They increase their stability and raise the credit score used by banks that value the company's risk * It is a low–risk investment which increases the
chances of a company securing bank financing for future needs.
Disadvantages:
* If the company uses more bank loan, it will over–leverage company's assets.
5. Mortgages
It is the transfer of the property to a lender on the assumption that the borrower agrees to terms of repayment of the debt, after which time the asset will
be transferred to the borrower's ownership. A mortgage is a common form of security for a creditor.
Advantages:
* Interest payments on your mortgage are tax deductible. * Mortgage schedules are pre–set, making cash management more predictable.
Disadvantages:
* Mortgage requires you to pledge the purchased property to the lender. * Failure to make any payment on time, bankruptcy, insolvency and breaches
of any obligations in the mortgage agreement will be there. 6. Leasing
It is an agreement between lesser and lessee, the lessee obtains the right to use an item and assets owned by the lesser in exchange for periodic
payments. The lessee's ownership of the assets has expired at the end of given agreement period.
Advantages:
* It offers fixed rate financing; The Company pays at the same rate monthly. * There is less upfront cash outlay; the company does not need to

Case Study : Fund Accounting Manager Essay
SUMMARY:
Fund accounting manager with two decades of hands–on experience in hedge fund, venture capital fund, private equity fund and mutual fund
accounting, administration and operations. Full range of accounting and financial experience including: investment accounting, administration,
taxation, auditing, and client service management.
HIGHLIGHT OF QUALIFICATIONS:
Outstanding experience in hedge fund, venture fund, private equity fund and mutual fund accounting and operations with a solid knowledge of US
GAAP and FASB Pronouncements.
Thorough knowledge of investment types and across diverse asset classes.
Extensive hands–on experience with daily bookkeeping, investment fair valuation, monthly, quarterly and year–end financial preparation, tax analysis,
and k–1 filing.
Ability to manage a complex area and lead the external audit process. Have worked with regulatory agency SEC.
Ability to multitask, prioritize works, summarize issues, and develop recommendations.
Ability to provide optimal client service with excellent communication skills in both oral and written forms.
Full working knowledge of Microsoft Office suite of applications, Advent Geneva, SS&C CAMRA software for portfolio and partnership accounting,
and Salesforce platform.
Energetic, enthusiastic, and pays a strong attention to details. PROFESSIONAL EXPERIENCE:
Vice President, Fund Accounting Manager
Conifer Fund Services, LLC (2014–Present)
Manage a team of individual contributors

Investment Banking
Introduction to Investment Banking An investment bank is not a bank in the usual sense. It doesn't have checking or savings accounts, nor does it
make auto or home loans. It is a bank in the general sense, in that it helps businesses, governments, and agencies to get financing from investors in a
similar way that regular banks help these organizations get financing by lending money that the banks' customers have deposited in the banks' savings,
checking, and money market accounts, and CDs. In other words, connecting the need for money with the source of money.Investment banks act as
Intermediary between those needing funds (Corporations (domestic and foreign), government agencies, state and local governments, foreign
governments) and... Show more content on Helpwriting.net ...
After exposing the corrupt practices of commercial and investment banks, the investigation led to the establishment of the Securities and Exchange
Commission (SEC) as well as to the signing of the Banking Act of 1933, also known as the Glass–Steagall Act. The SEC became responsible for
regulating and overseeing in–vesting in public companies. The Glass–Steagall Act mandated the separation of commercial and investment banking and
from then–until the late 1980–banks had to choose between the two enterprises. The Securities Act of 1933 and the Securities Exchange Act of 1934
required investment banks to make full disclosures of securities offerings in investment prospectuses and charged the SEC with reviewing them. This
legislation also required companies to regularly file financial statements in order to make known changes in their financial position. As a result of these
acts, bidding for investment banking projects became competitive as companies began to select the lowest bidders and not rely on major traditional
companies such as Morgan Stanley and Kuhn, Loeb. By the 1950s, investment banking began to pick up as the economy continued to prosper. This
growth surpassed that of the 1920s. Consequently, major corporations sought new financing during this period. General Motors, for example, made a
stock offering of $325 million in 1955, which was the largest stock offering to that time. In addition, airlines, shopping malls, and governments began

The And On Startup Valuations
A "How To" on Startup Valuations
Valuations are often referred to as an art, rather than a science. An outsider to the field would assume that there was one precise way to set the value
for a growing company, but in the end it comes to preference. Each company is different with assets that are unique and not easily compared to others.
At a baseline level, a valuation matters because it "determines the share of the company [entrepreneurs] have to give away to an investor in exchange
for money" (Vital 2013). With billions of dollars on the line in a valuation, different methods are employed to determine accurate valuations. Proposed
methods can vary based on company type, stage of funding, and many other characteristics. Bill Payne, long time angel investor, offers four popular
methods as a starting point for startup valuation. These span from the Venture CapitalMethod in which valuations get their basis from potential return
rates from exit events, the Berkus Method in which monetary standards are set against the progress a startup has made in commercialization, to the
Scorecard Valuation Process in which the company is compared in a certain region and vertical range based on a set of characteristics, finally the Risk
Factor Summation Method in which characteristics are again inspected in terms of what is expected in the future (Hudson 2015) .
While in the process of determining companies to fund, Venture Capital firms examine some of these same characteristics on

NEW FINANCE Essay
For the exclusive use of o. sow
9–810–073
REV: JULY 15, 2013
MATTHEW RHODES–KROPF
JOSH LERNER
ANN LEAMON
Iris Running Crane: December 2009
Iris Running Crane, HBS Class of 2010, shook the rain and soggy snow off her umbrella as she entered the lobby of Soldiers Field Park on a dark
December night in 2009. "Oh the weather outside is frightful," she whistled as she took the elevator to her apartment.
Back home on the Blackfeet reservation in East Glacier, Montana, the wind would be howling down from Canada, driving temperatures well below
zero. Tonight, though, Iris had more important things to think about than comparative climatology. Through a combination of preparation, experience,
hard work, and, she admitted, sheer ... Show more content on Helpwriting.net ...
While LBO returns had outpaced those to venture capital during the 1980s, the pattern reversed itself in the '90s, only to change again in 2000 and in
2007.
Starting in the early 2000s, LBO firms had enjoyed ready access to low–priced debt and had generated average returns of 15.6% between 2003 and
2006, compared to 9.9% for the Standard &
Poor's index and single digits for VC.3 Accordingly, LPs flocked to invest in LBOs, which raised $344 billion in 2008, while VC funds raised only $63
billion.4 Records fell for largest LBO deal (the acquisition of Texas utility TXU by Texas Pacific Group, Kohlberg Kravis Roberts, and Goldman
Sachs for $45 billion)5 and largest fund raised (Blackstone's $21 billion Corporate Private Equity Fund
V). In fact, the co–founder of the Carlyle Group lamented, "We should have done every single deal everywhere in the world [in 2005 and 2006]. Every
deal worked."6
VC firms, which had spent the first few years of the 2000s recovering from the telecom and
Internet bubbles, had little to crow about despite such high–profile successes as Google's 2004 initial public offering (IPO). Fundraising recovered from
2002's nadir of $12 billion, but comparisons to the anomalous activity of 1999 and 2000 made for a sobering return to reality.

Figures for LBO activity in 2008 indicated the peak of a cycle, and the bust followed shortly thereafter, as the global financial crisis shut off the
supply of cheap debt for LBO deals. Such loans
that

Continental/Fintelco Jv Case Analysis
1. Is entry into the Argentine market a good strategic move for Continental? Entering Argentine market in 1993–1994 was a good strategic decision for
Continental as one of the TOP5 cable TV companies in the US despite certain risks for several reasons: 1. Changes in the US regulatory environment
created additional challenges for Continental's core business: 1992 Cable Act limited the cable TV companies' ability to raise cable rates whereas
costs at market prices reached up to $2000/subscriber. This inevitably led to constrained profit margins 2. US market began saturating: long–standing
competition on the market coupled with growing demand and consumer selectivity has led to further squeezing margins and forced companies to seek...
Show more content on Helpwriting.net ...
Also, after an acquisition Liberman would have 50% ownership, which could decrease his involvement in this particular business and also led to
incentives misalignment. Indeed, he had diversified businesses and could have been looking for a cash–out. Liberman's full involvement and
commitment were crucial for joint venture success. b. Fragmented regional market in Argentine commanded inorganic expansion trajectory for
Fintelco, which in turn required capital commitment from both parties. A ceiling should have been established to limit uncontrollable capital pump
and its inefficient allocation. c. Exchange rate risks: significant portion of revenue stream born currency exchange risk (peso vs. USD) regardless of
geographical and product diversification. These risks were absolutely external and thus could have been hardly mitigated. 3. One could value
Fintelco in either of the following ways: a. Peso cash flows discounted at peso rate and then value converted at the spot rate b. $US flows discounted
at $US rate Which approach is more appropriate in this case? We analyzed assumptions required to adopt each of proposed approaches. Approach (b)–
$US cash flow discounted at $US rate – assumes that: (1) Peso/$US rate would remain constant – despite stable projection of peso exchange rate till
1998, PPP implied exchange rate has a high range (0.999–1.436, 44%) and hence significant volatility. (2)

Afin310 Lecture 5 Essay
FIN310 – Venture Capital– Investing in early stage growth companies – Lecture 1
Brendon Blacker
Monday 24 March
Introduction to your guest lecturer
Brendon Blacker
Vice President
Macquarie Capital Sydney
STRICTLY CONFIDENTIAL
2
Agenda
Lecture 1 – Monday 24 March 2014
1. Introduction to Macquarie Capital
Lecture 2 – Monday 31 March 2014
– Review questions
– Quick recap
2. Introduction to venture capital
– What is venture capital? How does it work?
3. Investing in early–stage growth companies (continued)

– Who are the main players globally and in Australia?
– What do venture capitalists look for in an investment?
– And... the difference between venture capital and private equity
– How do they make investment decisions?
3. ... Show more content on Helpwriting.net ...
2.
Fund Raising
пЃ®
Typically takes six months to a year to obtain capital commitments
пЃ®
Capital can come from state and corporate pension funds, public and private endowments and personal investors
Investment Sourcing
пЃ®
Can take between three and six years and is comprised of:
– Sourcing investments: identify and source opportunities
– Due diligence: extensive research and analysis is done on the company and in the market it operates in
– Initial investment
– Often, venture capital firms preserve an appropriate percentage of their funds to participate in follow–on fund raisings for their portfolio companies
3.
4.
Portfolio Management
пЃ®

The aim of this stage is to help the portfolio companies grow
пЃ®
Venture capital firms typically appoint representatives on the company's board and offers strategic advice to the management team
Closing
пЃ®
Often funds are 10 year closed–end funds in which it is expected that all investments will be exited and the fund wound up in
10 years
пЃ®
Exit of investments by way of IPO, sale to a third party (eg trade sale) or wind–up
STRICTLY CONFIDENTIAL
11
How do VC's add value?
пЃ® Network: providing a network of potential clients and partners to help build relationships
пЃ® Recruitment: assisting and identifying, interviewing and assessing talent for the business and for the Board
пЃ® Financing: assist in raising additional equity, debt or lines of credit
пЃ® Domain knowledge: specialist knowledge of industries
and

A Brief Look at Flipkart
Flipkart – History and Background: Flipkart is a private e–commerce company in India. The company was founded in 2007 by Sachin Bansal and
Binny Bansal, both were the alumni of the Indian Institute of Technology Delhi. The company headquarters is located in Bangalore, Karnataka.
Filpkart Online Services Pvt. Ltd was formally incorporated as a firm in October 2008. This is the company which made online shopping famous
in India. According to Alexa Traffic Ranks, filpkart is in 10 rank in India and globally it is in 143 rank. Flipkart first started selling books in its
initial period and later it started to sale products like electronic items, air conditioner, air coolers, mobile phones and laptops etc. It also offered
stationery items, life style products and e–books. Flipkart has launched its own product range under the name of "DigiFlip" offering camera bags,
pen–drives, headphones etc. A book "Leaving Microsoft To Change The World" is the initial product traded by flipkart. The payment methods opted by
them are cash on delivery, online payment through credit or debit cards. Further analysis about the initial investments, sources of funding and the
entrepreneurial life cycle of Flipkart is showed in my report. Entrepreneurial Life Cycle – A Brief Overview: Entrepreneurial life cycle is a series of
stages in the survival of a business, from its scratch till present. This life cycle helps the entrepreneur to work in a systematic way and helps him to
arrange the rite amount

Eco-Products, Inc.
CAPSTONE CASE 1: ECO–PRODUCTS, INC. End–of–Case Assignments: Suggested Discussions and Analyses A. Describe Eco–Products' early
history (1990 through 2003). Would you view the firm during that period as being a life–style business, an entrepreneurial venture, or? Why? Steve
Savage and his father founded the company in 1990 with the intent to provide eco–friendly paper and janitorial supplies. They chose to locate the
business in Boulder, Colorado, a community known for its support of environmental initiatives and natural products. However, consumers were slow to
adopt eco–friendly products. Margins were low and salaries were small. Friends and family supplied funds for business operations. This early history
was suggestive of... Show more content on Helpwriting.net ...
In actual practice, accountants use the direct method for preparing the statement of cash flows which aggregates all individual transactions made
throughout the year that impact accounting cash flows. Thus, because of the lack of detail, the indirect method for preparing the statement of cash
flows is sometimes difficult to exactly reconcile with the more detailed results provided from the direct method. Also, as noted in the prior question,
only the 2007 balance sheet was audited. Other financial statements were only "reviewed by a CPA firm. This makes it more difficult to separately
prepare (using the indirect method) a statement of cash flows for Eco–Products for 2007. While many of the changes in balance sheet accounts
between 2006 and 2007 match with the amounts presented in the consolidated statements of cash flow in Exhibit 4, others do not. Thus, for this
question we suggest that students concentrate on Exhibit 4 to determine the extent to which Eco–Products was building or burning cash in 2007. In
Chapter 4 we presented a short method for determining whether a firm had been building or burning cash. The short method sums the net cash used in
operating activities and the net cash used in investing activities. 2007 Cash Build/Burn = net cash used in operating activities + net cash used in
investing activities = –2,891,887 + –356,745 = –3,248,632 Thus Eco–Products had a cash burn of over $3 million in 2007. A more detailed method

Yale Case
9–812–062 OCTOBER 18, 2011 JOSH LERNER ANN LEAMON Yale University Investments Office: February 2011 "...anointing winners and losers
on the basis of 12 months' worth of performance is silly in the context of portfolios that are being managed with incredibly long time horizons." –
David F. Swensen, Chief Investment Officer, Yale University1 On a February afternoon in 2011, David Swensen, Chief Investment Officer of Yale
University, stared out his window at the snow blanketing the city of New Haven. He was considering the roster for the Investments Office's 2011
softball team, which would be defending its first–ever Yale University championship. It was nice to imagine the warmth of summer. Swensen and the
Investments Office had... Show more content on Helpwriting.net ...
The creation of a formal endowment for Yale was triggered by the 1818 disestablishment of Congregationalism as Connecticut's state religion.
Students and alumni alike demanded that the school respond by establishing a divinity school to offer theological instruction. To fund this effort,
numerous alumni made large gifts, the first in a series of successful fund drives. While Yale used many of these donations to buy land and construct
buildings, other funds were invested in corporate and railroad bonds, as well as equities. By the century's end, the endowment had reached $5
million. The growth of the endowment accelerated during the first three decades of the twentieth century, due both to several enormous bequests and
to aggressive investments in equities, which represented well over half the endowment's portfolio during the Roaring Twenties. In 1930, equities
were 42% of the Yale endowment; the average university had only 11.5%.3 Yale avoided severe erosion of its endowment during the Great
Depression in the 1930s, however, because many recent bequests were kept in cash or Treasuries rather than being invested in equities. In the late
1930s, Treasurer Laurence Tighe decided that the share of equities in Yale's portfolio should be dramatically reduced. Tighe argued that higher taxes
were likely to expropriate any corporate profits that equity holders would otherwise receive even if a recovery did occur. He concluded that bonds would

The Case Study of TRX Going Public
This case gives comprehensive coverage of a firm's decision to start an initial public offering but also to go through the process of going public. TRX
is a company managing travel–and–data processing activities for its clients. Its target market has significant transaction volume in travel agencies,
travel suppliers, large corporation and credit–card issuer. Regarding its service offerings, it focuses on transaction processing, data integration and
customer care. Its fortune tied to the overall health of travel industry. TRX generates a lot of revenue but less profit. Trip Davis, Chief Executive
Officer of TRX, Inc. decided it was time to raise capital in order to fund the growth of the company. His main focus was to accomplish a strategic
recapitalization of TRX. This case gives a brief history about several events from the company's incorporation in 1999 through the completion of
an IPO in September 2005. The main goal is to raise capital but there is also a consideration of another reason for going public. In November 1999,
they tried to go public but the IPO was never finalized. After the failed IPO, Trip Davis and TRX president decided to focus on strategic investors in
order to raise $20 million convertible into equity at $11 per share. In 2004, he believed that Sabre, Inc. one of the largest strategic investors was not
working for the best interest of the company. He took into consideration three possible capital raising options: IPO, private placement of equity, or

Case Study: New Venture Financing
9–802–131 REV: AUGUST 1, 2006 HOWARD H. STEVENSON MICHAEL J. ROBERTS New Venture Financing One of the most common issues
which an entrepreneur faces revolves around securing financing for the new venture. The questions of how and when to raise money and from whom
are frequent topics of concern. This piece will attempt to describe some common sources of capital, and the conditions under which money is typically
lent or invested. Overview As in most transactions, the owners of capital expect to get something in return for providing financing for the venture. In
evaluating potential opportunities, the providers of funds will typically use some form of a risk/return model. That is, they will demand a higher return
when they... Show more content on Helpwriting.net ...
Some specialized firms provide "seed capital." Most venture capital firms require that a business move beyond the idea stage before they will
consider financing it. Yet, some businesses require a good deal of work, and money, to get from the concept phase to the point where they can obtain
venture capital financing. These seed funds can provide this kind of capital, as can "angel" investors (see below) and friends and family. Bootstrapping
First, it is worth pointing out that many successful ventures receive no outside funding of any kind. Entrepreneurs use their own savings, credit cards,
a second mortgage, even personally guaranteed loans, to start their businesses. The appeal of this strategy is clear: 100% ownership of the equity. 2
New Venture Financing 802–131 Amar BhidГ© conducted a study1 in the late 1980s that found that 80% of the 500 companies on Inc. Magazine's list
of the 500 fastest growing companies were started–and grown–with no outside equity capital. Indeed, the median start–up capital required was $10,000.
Certainly, one factor that enables a bootstrap approach is the selection of a business without a particularly deep cash flow trough. Thus, inventing a new
drug or starting a semiconductor manufacturing enterprise are businesses that would be difficult to bootstrap, simply because of the huge amounts of
capital required. The ideal business for

Mix of Debt and Equity
TABLE OF CONTENT
I. ABSTRACT1
II. INTRODUCTION2
III. BACKGROUND4
1. Definition of debt and equity4 a) Definition of Debt4 b) Definition of equity5 2. Example of mix structure capital5
IV. TECHNICAL SECTION11
1. Debt Financing – Pros & Cons11 a) Definition and Classifications of Debt Financing11 b) Advantages of Debt Financing14 c) Disadvantages of Debt
Financing15 2. Equity Financing – Pros & Cons16 a) Definition & Classifications of Equity Financing16 b) Advantages of Equity Financing18 c)
Disadvantages of Equity Financing19 3. The mixture of Debt and Equity20 a) Definition20 b) Why do virtually all companies choose to finance
themselves by the mixture of debt and equity?22 ... Show more content on Helpwriting.net ...
Section III, Background section, and section IV, Technical section contain the core of this report. Background section gives you the definitions of debt
and equity and how to divide them into different types. This section also shows you some examples of mix structure capital which is the mixture of
debt and equity. Technical section discusses in detail about debt financing and equity financing, their definitions, their sources, and how good or how
bad they impact on your business. The end of this section which focuses on mixture of debt financing and equity financing makes clear the reasons why
virtually all companies choose this structure to finance themselves with, the factors that affect on ratio of the mixture, and a little professional
understanding about optimal level of mix structure. The last section, known as Conclusion, will summarize the key points of the report.
We do hope that you will find this report useful, and after reading it, you will have the basic knowledge about raising business capital.
III. BACKGROUND

1. Definition of debt and equity
After going through the introduction section, we know that there is a strong relation between debt and equity in business environment. And, virtually
all companies finance themselves with a mixture of debt and equity in order to get profits in business progress.
In this section, we are going to clarify the definition of debt and equity, as well as the types of each one in terms

The Modern Private Equity Industry
Literature Review
The modern Private equity industry is relatively young with less than approximately 50 years of existence. The emergence of Private Equity and
Venture Capital as major asset classes can be traced through the history of a series of boom and bust cycles in the stock markets since as early as the
1940s, (John Steele Gordon, 2012,Wall Street Journal), which led to a rise in institutionalisation of buy–out funds in early 1980's (Cao and Lerner,
2009).
Previous study on long–term stock performance of leverage buy–out backed firms primarily focused on a rather small subset of the leverage buy–out
backed firms called as Reverse Leverage Buyouts (RLBOs). A RLBO is the Initial Public Offering of companies which were initially... Show more
content on Helpwriting.net ...
how long does the firm stays invested post the IPO, could be an indicator of the IPO's long term performance. Often, hasty exits from an investment,
also, known as quick–flips, may result into failure of an IPO. The level of Debt–to Equity ratio coupled with the amount of dividends paid by the PE
firm to itself are some other deciding factors of an IPO's long term performance. (Mian and Rosenfeld, 1993) study the long–term performance of 85
reverse LBOs for a three year period starting from one day after the firm goes public. They find that reverse LBOs show significant positive cumulative
abnormal returns and most of these returns are a result of take–over activity which occurs mostly in the second year after the IPO. These findings were
unlike that of Ritter (1991). Other earlier studies of Degeorge and Zeckhauser (1993) and Holthausen and Larcker(1996) also indicate that RLBOs
outperform other general IPOs or the newly floated firms on the stock market.
Additionally, long–term performance studies conducted on Venture Capital(VC) backed IPOs have shown significant results in terms of returns.
Specifically, the study conducted on 934 US VC–backed IPOs from 1972 to 1992 by (Brav and Gompers, 1997) show that VC–backed IPOs
outperform the non–VC–backed IPOs in equal–weighted returns. They accredit this superior performance to efficient management teams and corporate
governance structures. Further research by Krishnan et al. (2009) confirm these

History Of The Venture Capital Industry
1.2.History of the venture capital industry
Historically venture capital represented a small portion of alternative assets, which in turn represented a small, but sizeable, portion of the global
financial asset base. (INSERT CITATION). Prior to the semiconductor boom in the 1960s, venture capital was closer to what today is described as
angel investing. During this period, the majority of new venture financing originated from individual investors, and often financed by the entrepreneur
or his or her family and acquaintances. (INSERT CITATION).
Prior to the Second World War, most new venture financing was sourced from wealthy individuals and families. (CITATION) George Doriot is often
regarded as father of the modern, whereby he established the investment firm ARD in 1947 to source institutional funds to be invested in financing new
ventures. (CITATION) A decade later the U.S. government passed the Small Business Act of 1958, through which the government provide financing in
form of debentures to Small Business Investment Companies (SBICs). While SBICs backed some of today's most well–known multi–national
corporation such as Xerox or FedEx, and share many aspects of the modern VC firm, they did not become the accepted model for venture financing. (
Venture Capitaland Finance of Innovation, Metrick et al) Perhaps the most valuable outcome of SBICs for the establishment of the venture capital
industry was that it trained the professionals who later established the venture

Merchant Banking
A merchant bank
This free essay was written by a student and not by our expert writers. If you need custom essays on your exact essay questions, then have a look at
our essay writing service.
What is Merchant Bank?
A Merchant bank is a bank or a financial institution which is more focusing on providing financial services and advice to corporations and wealthy
individuals, so we can say that a Merchant bank is that which providing Private equity activities of banking. There are two types of banks which
provides these private equity services and they are Merchant banks and Investment Banks and the main difference between these banks is merchant bank
invest its own capital in a client company whereas an investment bank is act as a ... Show more content on Helpwriting.net ...
It includes Public Sector, Private Sector and Foreign Bankers. Following are some examples of these Bankers:–
Public sector Merchant Bankers: * SBI CAPITAL MARKETS LTD * PUNJAB NATIONAL BANK * BANK OF MAHARASHTRA * IFCI
FINANCIAL SERVICES LTD * KARUR VYSYA BANK LTD, * STATE BANK OF BIKANER AND JAIPUR
Private Sector Merchant Bankers: * ICICI SECURITIES LTD * AXIS BANK LTD.(FORMERLY UTI BANK LTD.) * BAJAJ CAPITAL LTD *
TATA CAPITAL MARKETS LTD * ICICI BANK LTD * RELIANCE SECURITIES LIMITED * KOTAK MAHINDRA CAPITAL COMPANY LTD
* YES BANK LTD.
Foreign Players in Merchant Banking: * GOLDMAN SACHS (INDIA) SECURITIES PVT. LTD. * MORGAN STANLEY INDIA COMPANY PVT
LTD * BARCLAYS SECURITIES (INDIA) PVT. LTD * BANK OF AMERICA, N.A * DEUTSCHE BANK * DEUTSCHE EQUITIES INDIA
PRIVATE LIMITED * BARCLAYS BANK PLC * CITIGROUP GLOBAL MARKETS INDIA PVT. LTD. * DSP MERRILL LYNCH LTD * FEDEX
SECURITIES LTD
ANALYSIS OF ARTICLES
ARTICLE 1:– Marketing effectiveness in Merchant Banking
In this article author Alka Sharma discuss about the economic reforms that took place in Indian financial sector. This type of reforms has gaining more
importance as financial intermediaries and also help in opening new opportunity for growth and development of various financial services. As a result
of this new reforms there is a shift in financial services from quantitative to qualitative services. Financial institution is highly

Kraft Heinz Case Study
Strategic Issues and Actions
Strategy Model
The strategy of Kraft Heinz dramatically changed after the merger in 2015. The new strategy is considered to be iconoclastic. This is because the new
leaders of the company are not reminiscing in the past or using the former strategies that worked for the company. They did a complete overhaul to the
leadership and the strategies that "worked" for the company. The new company objectives are as follows: 1. Profitable sales growth, 2 Best–in–class
margins, and 3. A superior return of capital. The company will no longer let employees slip in to the cracks and gain a retirement, it must be earned.
Since 3G Capital is the holding company for Kraft Heinz they follow the meritocracy model set forth by 3G. Colvin (2017) discussed the fact that
those who do good move forward and up, those that do bad get fired. It is almost biblical "Don't be deceived: God is not mocked. For whatever a man
sows he will also reap" (Galatians 6:7, Holman Christian Standard Bible). Colvin explains this when he discusses the new CEO:
Kraft Heinz CEO BerВ¬nardo Hees, for example, first became a CEO in 2005 at a company called All America Latina Logistica, owned by a 3G
Capital predecessor. He was then made CEO of Burger King, a 3G Capital holding since 2010. He moved up to be CEO of Heinz in 2013 and now of
Kraft Heinz.
The infamous company, 3G, uses a private equity strategy, however 3G Capital does not operate as a traditional private equity corporation.

How Venture Capital Works : Invention And Innovation Drive...
How Venture Capital Works
Invention and innovation drive the U.S. economy. What's more, they have a powerful grip on the nation's collective imagination. The popular press is
filled with against–all–odds success stories of Silicon Valley entrepreneurs. In these sagas, the entrepreneur is the modern–day cowboy, roaming new
industrial frontiers much the same way that earlier Americans explored the West. At his side stands the venture capitalist, a trail
–wise sidekick ready to
help the hero through all the tight spots–in exchange, of course, for a piece of the action.
As with most myths, there's some truth to this story. Arthur Rock, Tommy Davis, Tom Perkins, Eugene Kleiner, and other early venture capitalists are
legendary for the parts they played in creating the modern computer industry. Their investing knowledge and operating experience were as valuable as
their capital. But as the venture capital business has evolved over the past 30 years, the image of a cowboy with his sidekick has become increasingly
outdated. Today's venture capitalists look more like bankers, and the entrepreneurs they fund look more like M.B.A.'s.
The U.S. venture–capital industry is envied throughout the world as an engine of economic growth. Although the collective imagination romanticizes
the industry, separating the popular myths from the current realities is crucial to understanding how this important piece of the U.S. economy operates.
For entrepreneurs (and would–be entrepreneurs), such an

Essay on Little Sheep Case study
3i Group plc and Little Sheep*
Lily Fang
Roger Leeds
insead
School of Advanced International Studies, Johns Hopkins University
"Many people grow a company like raising a pig. The pig gets fat, you kill it and make money. I grow my company like raising a son. The average life
of a restaurant is less than three years in China. I want Little Sheep to last a century."
– Zhang Gang, Founder, Little Sheep Catering Chain Co.
"Helping a great business to realize its potential takes a lot more than just capital. It is ultimately about the people, thus your relationship with the
management team and the sort of support you can provide, such as introductions to key industry expertise and relevant operational best practice, is very
The firm opened its first Asia office in Singapore in 1997, followed by a second office in Hong Kong four years later, and offices in Shanghai,
Mumbai and Beijing subsequently. During fiscal year 2006, 16% of the group's new investments were in Asia. Alongside the geographic shift, 3i's
investment strategy has also evolved, with an emphasis on making fewer, larger, and more sectorвЂ‘focused investments. In Asia, the group's average
investment size has been about $40вЂ‘50 million, and sectors in focus included consumerвЂ‘related goods and services, healthcare, and energy.
These changes in investment strategy were consistent with a decision to become more actively involved in its portfolio companies, returning to the
firm's original modus operandi as an "investor in industry". To better serve its portfolio companies, 3i developed two unique programmes:
People Programmes and Business Development Practice.
People Programmes is a highly sophisticated approach to cultivating relationships internationally with seasoned
* The authors express their appreciation for the research and editing support provided by Brian DeLacey.
T
he perceived funding gap – the "Macmillan gap" – was scrutinized back in 1929 in a report by a committee under the chairmanship of Lord

Macmillan. The founding of ICFC, predecessor of 3i, was closely linked to one suggestion in the Macmillan Report.
2
3
i's growth capital and venture capital investments are

My Time At Plateau Asset Management
Lessons Learned/ Anomalies: Although many analyst internship positions are individually focused, I found my time at Plateau Asset Management to
be more team focused. Therefore, I learned many lessons regarding team work and communication. Speaking Fast: In the initial Friday group meetings
I found myself never allowing the other analysts to digest the material that I was explain. Musa pointed this out to me half way through the internship
and told me slow down and ask questions to make sure your listeners understand what you are explaining. This became important when I began to
mentor new inters because it was necessary that they retained the information that I was explaining during our time together. Listening: Musa believed
that I was a good listening, however that I could improve. Musa stated, "Always listen to respond", when 'listening to respond' you absorb what the
speaker is saying before responding. Working as a Minority: The fact that I was a minority in the team of 5 analysts did not come to my attention until
the end of my internship period. Musa and I found this strange because a vast majority of the financial industry is Caucasian males, however even
though this internship is in financial industry I was the only white Caucasian male intern; we furthered our study and found out that I was the only
white Caucasian male to even apply for the position. We thought maybe this was because the internship was virtual. Section 3. Observations about the

Advance Fuel Corporation Case
Advanced Fuels Corporations
Financial Analysis and Forecasting
Wai Wai Yung
Wing Man Tsoi
Introduction:
Advanced Fuels Corporation (AFC) was founded five years ago by Dr. Zachary Aplin. In the fourth year of research he and his two–member staff
made a major break–through that can convert grain waste products into ethanol which can mix with gasoline to produce a better burning automobile
fuel. Producing ethanol from waste products would lower its cost dramatically so the market potential of the blended fuel would be increased. After
AFC receiving a patent for Dr. Aplin's unique ethanol production process he decided to broaden the scope of operations of the company but he doesn't
have additional funds to put in. So, he developed ... Show more content on Helpwriting.net ...
In AFC's business plan, it stated the company is building production facilities in five major cities in U.S. and also the patent of unique ethanol
production process can be collateral too. In AFC's condition they need to get the operation started so a bridging loan (short–term) is most suitable for
them until they find a permanent investor to provide the additional funds needed and it carries relatively lower risk for our bank as well.
We would prepare a few things before meeting with Dr. Aplin and his consultant. First, study the business plan of AFC carefully to see if the proposal
is feasible and reliable. Look at all the components with the current and future economic condition, trend of the industry and related news to see if
everything is reasonable. When everything looks good from the surface, the next step is to conduct a detail research on Dr. Aplin and his company and
the industry. Dr. Aplin's personal information such as reputation, education and achievements can tell us the ability of him to support his new firm and
to conduct the business. Studying about his company's details like financial statements and how the operation goes can get us close to the most
important part–compare the firm with some established companies within its area of industry. From that we can estimate the risk of the business, the
return, cash flow, payback period, competitiveness

venture capital Essays
CHAPTER –1
INTRODUCTION
1.1 INTRODUCTION
Venture capital, a financial innovation of the twentieth century, is a long–term liquid investment, which can be in the form of equity, quasi–equity and
sometimes debt in new and high–risk ventures. Venture capital became better known after the famous legend of Apple Computers, which started out in
the US in 1977 with the capital firm, Arthur Rock & Co. Apple Computers then made it to the Fortune 500 and Arthur Rock & Co. attained height in
Venture capitalindustry. However the success of Venture Capital in USA stimulated world countries to practice on Venture capital.
A number of technocrats are seeking to set up shop on their own and capitalize on opportunities. In the highly ... Show more content on Helpwriting.net
...
Companies such as Digital Equipment Corporation, Apple, Federal Express, Compaq, Sun Microsystems, Intel, Microsoft and Genentech are famous
examples of companies that received venture capital early in their development.
In India, these funds are governed by the Securities and Exchange Board of India (SEBI) guidelines. According to this, venture capital fund means a
fund established in the form of a company or trust, which raises monies through loans, donations, issue of securities or units as the case may be, and
makes or proposes to make investments in accordance with these regulations.
1.3 OBJECTIVES
Venture Capital is one of the fastest emerging sources of finance for new entrepreneurs. In spite of its increasing popularity, funding via Venture Capital
is faced with a number of difficulties. Thus, it is important to study the various aspects of raising funds through Venture Capital.
1. Trends in the Indian Venture Capital Industry.
2. To study the current Indian scenario.
3. To find out the different contributors to the Indian Venture Capital Industry and their investment industry wise.
4. To identify the major players in the Indian Venture capital Industry.
5. To identify the problems faced by the Indian venture Capitalists.

6. To study the various guidelines of the regulatory body "SEBI".
1.4 SCOPE
Major limitation of the project has been the unavailability of current data, of the contributors to

Startup/Seed Stage Investment by Venture Capital
STARTUP/SEED STAGE INVESTMENT BY VENTURE CAPITAL
FUNDS (IN ISRAEL): ENTREPRENEURS IN RESIDENCY AND
EXECUTIVE IN RESIDENCY PROGRAMS
ABSTRACT
What constitutes venture capital and what constitutes angel financing is a natural question. In the time period after the bubble burst in 2000 it became
easy to differentiate:
1.Angel investors: usually "high status" individuals, former successful technology entrepreneurs who use their financial wealth, which financed birth
and initial growth of ventures.
2.Venture capital(VC): independently managed, dedicated pools of capital that focus on equity–linked investments in privately held, high growth
companies needing mid stage financing. Startup/seed financing were usually not ... Show more content on Helpwriting.net ...
The concept is to invest in an idea or new technology, create a company and as soon as it reaches a sufficient size and credibility sell it to a
corporation or to the public–equity markets. Venture capitals' niche exists because of the structure and rules of capital markets (Zider, 1998). Banks
will only finance a new business to the extent that there are hard assets against which to secure the debt. Most startup/seed ventures have few hard
assets. Usury laws limit the interest banks can charge on loans and the risks inherent in startup/seed ventures justify higher rates than allowed by law.
Usually, in return for financing one to five years of a company's start–up, venture capitalists expect a ten–fold return of capital. Combined with the
preferred position and stock options this is a very high cost on capital. This equity investment is like a loan with a 60%+ annual compound interest rate
that cannot be prepaid (Zider, 1998).
Venture capital fills the void between personal sources of funds for innovation (usually provided by friends and family of the entrepreneur, government
programs or corporate venture funds) or angel financing (former successful technology entrepreneurs that use their

Private Equity, Significant Part Of Alternative Investment
Private equity is significant part of alternative investment. Despite of many existing literature and supporting research in this area private equity
performance is still uncertain. The main purpose of this work to investigate and overview available literature and recognise main issues in investment
policies of us private equity funds. To overview industry as a whole and compare results of two main companies in US market.
To learn the concept of investment policies of private equity secondary sources will be considered and analyzed.
Due to several challenges as cash flow uncertainty, difficulty in valuing the performance and illiquid nature of private equity industry faces to choose
appropriate strategy in investment policy and proper ... Show more content on Helpwriting.net ...
Researchers argue that private equity succeed in the basement of transferring from portfolio companies to private equity firms in the format of asset
stripping and dividend recapitalization, transfer from creditors in the shape of buying debt back at discount, reducing bankruptcy, and debt exchanges.
It also examines private equity and it is role in the US market. The authors using aggregate descriptive data, simplifying models, publish statistical
analysis made a good introduction to private equity. They took deeper look on different aspects of the private equity and effects of recent financial
crisis. Further, they consider that private equity faced the challenge of deal–making in post–crisis period. Due to large increase of distressed portfolios
and numbers of bankruptcies together with continuing poor macroeconomic situation (slow job creation and GDP growth) it is difficult for private
equity to find a "good deal". Moreover, they cannot exit from choosing portfolio without losses or return which less than participating work. Finally, it
is hard to attract new limited partners and grow as private equity fund. Well known private equity firm sounds better than new established fund in order
to participate from sovereign wealth fund and hedge fund.
In the US private equity market 427 firms failed to raise new funds

Iris Running Crane Case Study
CanelBiryolIRIS RUNNING CRANE CASE STUDY Iris Running Crane, an MBA graduate candidate, is trying to choose among three different job
offers in private equity sector. Her first option is Sunstorm Investment Group, which is one of the most respected buyout groups in the world. Her
second option is Red Horse Partners, which is a middle–market LBO group. The third is Lepus Capital; tries to reposition itself like a turnaround
expert, beginning using its own portfolio. In this study case, I will try to analyze the advantages and disadvantages of each offers and try to determine
which offer might be the best for her personal career goals in the future. Before analyzing job offers, I determined the expectation of Iris about her job
Alsothefirm'scounter–ВвЂђcyclicalofferingisanotherreasonforIristobeinterestedinthisfirm.Iris'pastexperienceindealstructuringmayhelphertobemoresuccess

Maclean Palmer Case Study
Maclean Palmer Questions & Answers
1.Evaluate Palmer and his decision to create a new venture capital fund.
Maclean Palmer and 4 partners are about to quit their jobs and move to Boston with their families to begin crafting an offering memorandum for a
private equity fund.
Private equity is an asset class consisting of equity securities in operating companies that are not public trade on a stock exchange.
Private equity investments are primarily made by private equity firms, venture capital firms, or angel investors, each with their own set of goals,
preferences and investment strategies.
The most common investment strategies in private equity are: leverage buyout, venture capital and mezzanine capital.
The ... Show more content on Helpwriting.net ...
In year 2000 was shaping up to be a record breaking period for venture fund raising between 1998 and 2001, over $200 billion had been raised by
venture groups, more than the total of the previous 40 years.
With the "management centric" concept that is core strategy would be identify and recruit top level ethic minority managers from fortune 1000
companies to run and add value to his fund's investments.
2.Evaluate the team and Palmer's approach to selecting and putting the team together.
Palmer selected partner member according to the Investment preference, management abilities, track record and personal styles. He tried to combine
talent, networks (unknown to each other) in order to get a diversity of skills, contacts and a business perspective to a profitable future business.
People he suggested were special and unique to their abilities, styles, abilities and networks they had build in their work experience.
People like:
Clark T. Pierce
Andrew L. Simon

Ray S. Turner (introduced by Wanda Felton)
Dario A. Cardenas for vice president
Also GSA cofounder Clint Harris was concerned about their abilities. With a call to CEO of GM, conclude that due diligence of Ray Turner is a key
to drive this team. As well need time to calibrate on their judgment and skill (no track record).
Palmer had an agenda prepared and strategy session in order to bond the team. Palmer was looking forward to build the team by coming

Eco-Products, Inc.
CAPSTONE CASE 1: ECO–PRODUCTS, INC.
End–of–Case Assignments: Suggested Discussions and Analyses
A. Describe Eco–Products' early history (1990 through 2003). Would you view the firm during that period as being a life–style business, an
entrepreneurial venture, or? Why?
Steve Savage and his father founded the company in 1990 with the intent to provide eco–friendly paper and janitorial supplies. They chose to locate the
business in Boulder, Colorado, a community known for its support of environmental initiatives and natural products. However, consumers were slow to
adopt eco–friendly products. Margins were low and salaries were small. Friends and family supplied funds for business operations. This early history
was ... Show more content on Helpwriting.net ...
Note: we are using end–of–year balance sheet items (rather than averages) in order to have three comparison years and to recognize that the firm's
business model (from a retailer of products manufactured by others to a manufacturer/wholesaler of eco–friendly products.
2005 COGS/Revenues = 2,584,326/3,649,799 = .708 = 70.8%
2006 COGS/Revenues = 3,684,492/5,751,787 = .641 = 64.1%
2007 COGS/Revenues = 7,726,455/10,867,104 = .711 = 71.1%
2005 Gross Profit Margin = 1,065,473/3,649,799 = .292 = 29.2%
2006 Gross Profit Margin = 2,067,295/5,751,787 = .359 = 35.9%%
2007 Gross Profit Margin = 3,140,649/10,867,104 = .289 = 28.9%
2005 Operating Profit Margin = 239,519/3,649,799 = .066 = 6.6%
2005 Net Profit Margin = 237,336/3,649,799 = .065 = 6.5%

2006 Net Profit Margin = 41,946/5,751,787 = .007 = 0.7%
2007 Net Profit Margin = –36,199/10,867,104 = –.003 = –0.3%
2005 Sales to Total Assets = 3,649,799/795,465 = 4.588 times
2006 Sales to Total Assets = 5,751,787/2,103,478 = 2.734 times
2007 Sales to Total Assets = 10,867,104/5,647,015 = 1.924 times
2005 Return on Assets = 237,336/795,465 = .298 = 29.8%
2006 Return on Assets = 41,946/2,103,478 = .020 = 2.0%
2007 Return on Assets = –36,199/5,647,015 = –.006 = –0.6%

Chameleon Shoes Sources Of Capital
Chameleon Shoes Sources of Capital Every business needs some form of capital investment hence the need for entrepreneurs to identify reliable
sources of financing. The chameleon shoes venture, being a new business opportunity will require reliable sources of capital. In fact, the chameleon
shoes business will require finances to purchase assets and for its working capital operations. As such, this paper seeks to explore various sources of
capital with particular interest on venture capital as well as their pros and cons.
Potential Sources of Capital Personal savings is the first potential source of capital for investing in the chameleon shoe venture. Personal savings
especially money put aside in a bank is easily accessible and is very instrumental in starting off the business venture (Castellani et al., 2013).
Actually, personal savings are important because they can be used to develop one or two pairs of chameleon shoes which will act as samples. Using
personal savings to come up with samples of the chameleon shoes helps in pitching the product and making it possible to expand the capital outlay by
attracting potential investors. Therefore, the pros for personal savings are its ease of accessibility and its ability to assist an entrepreneur pitch a
product in the early stages. Unfortunately, personal savings has shortcomings because it is often inadequate or the amount may be too small to make an
impact. Moreover, angel investors are a suitable

Entrepreneurship Funding: A Comparative Analysis of the...
Introduction Entrepreneurship is a difficult road to travel and requires a great deal of resourcefulness and intuitive thinking. There are great risks
associated with going into business on your own, but the payoffs can be extremely rewarding as well. What is most important on the path to
entrepreneurship is the various sources of funding available. The purpose of this essay is to discuss the various funding sources that are available to
entrepreneurs as they seek their project into materialization. This essay will examine several areas of funding and compare and contrast the advantages
and disadvantages of each option. These options include: venture capitalists, personal bank loans, small business administration loans and other special
types of loans as well. Venture Capital One of the first options an entrepreneur should investigate is venture capitalism or venture capitalists (VC) as a
means to fund the project of their dreams. Steier & Greenwood (1995) expressed that " Venture capitalists represent an outside source of finance that
generally takes an active interest in managing the firm. Two common practices within the venture capital industry are co–investing and staged
financing." These two approaches dictate what routes are available for the one seeking the much needed help in starting the business. These investors
are interested in industries with high–growth potential, such as information technology. Normally, venture capital investors provide funds to a

Employer Analysis Paper
Memorandum
Date: January 31, 2017
To: Cindi Clayton Schnitker, Instructor
From: Jill Martin, Student JM
Subject: Employer Analysis Report
Introduction
For this assignment, I am going to conduct a thorough analysis of a prospective employer. This includes an organization description, history, financial
analysis, and industry profile. I am also going to identify a position I plan to pursue throughout this course as well as a position summary and
benchmarks. The Employer I am going to analysis is SS&C Technologies, Inc.
Position Summary
The position I plan to pursue throughout this course is a Fund Accountant Summer Internship at SS&C Technologies, Inc. located in Evansville,
Indiana. For this position, SS&C is looking for a college ... Show more content on Helpwriting.net ...
SS&C is a leading provider of investment and financial management software, and fund administration services to the Hedge Fund, Private Equity, and
Institutional Financial Services Investment industry (Technologies, "About Us"). SS&C has more the 7,500 employees working worldwide in offices
located in North America, Asia, Australia, and Europe (Technologies, "SS&C History").
в€’History
SS&C Technologies, Inc. was founded by William Stone in 1986. Stone is currently Chairman of the Board of Directors and CEO of the company.
He took the company public in 1996 which was later acquired by entities connected to The Carlyle Group in 2005 and was taken private. In 2010 the
company began trading on NASDAQ and has a ticker symbol of "SSNC". SS&C has acquired 43 business, since 1995, with products, services, and
technologies specific to their own industry (Technologies, "SS&C

Advantages And Disadvantages Of Venture Capital
VENTURE CAPITAL
"Everything begins with an idea"
–Earl Nightengale
INTRODUCTION
The term 'Venture Capital' is associated with the funding of start–ups by venture capitalists, which show potential to make it big in the future. The
venture capitalists earn by getting ownership equity in the firm. The main of form of venture capital investments begin after the initial seed funding.
Venture capital is essential for the companies who focus on novel ideas, because it is difficult to get a loan from banks for it. INITIAL HISTORY
Georges Doriat also known as father of venture capitalism, opened up a venture capital firm, American Research and Development Corporation
(ARDC) in 1946. The main objective of ARDC was to encourage soldiers returning from the world war. ARDC became the first equity firm to generate
capital not from the wealthy families but other sources as well. ARDC invested ... Show more content on Helpwriting.net ...
For example, suppose you have a novel business thought however you don't have enough cash to adequately bring it to the market yourself before
contenders enter the business sector , venture capital firms may permit you to rapidly make and grow the business, gaining market share and brand
recognition before competitors enter the market.
As an organization develops, its worth has a tendency to expand, so venture capital firms can wind up making the original owner's stake in the
organization more profitable.
From the point of view of a start up, Venture capital offers the potential for large sums of investment and is an attractive investment. Venture capital
investors regularly bolster creative new businesses which have a degree for business expansions and can bring about higher returns when contrasted
with interest in stocks and

Venture Capital
Venture capital
Venture capital (also known as VC or Venture) is a type of private equity capital typically provided to early
–stage, high–potential, and growth
companies in the interest of generating a return through an eventual realization event such as an IPO or trade sale of the company. Venture capital
investments are generally made as cash in exchange for shares in the invested company.
Venture capitaltypically comes from institutional investors and high net worth individuals and is pooled together by dedicated investment firms. A
venture capitalist (also known as a VC) is a person or investment firm that makes venture investments, and these venture capitalists are expected to bring
managerial and technical expertise as well as ... Show more content on Helpwriting.net ...
By far Whitney 's most famous investment was in Florida Foods Corporation. The company developed an innovative method for delivering nutrition to
American soldiers, which later came to be known as Minute Maid orange juice and was sold to The Coca–Cola Company in 1960. J.H. Whitney &
Company continues to make investments in leveraged buyout transactions and raised $750 million for its sixth institutional private equity fund in 2005
Early venture capital and the growth of Silicon Valley
One of the first steps toward a professionally–managed venture capital industry was the passage of the Small Business Investment Act of 1958. The
1958 Act officially allowed the U.S. Small Business Administration (SBA) to license private "Small Business Investment Companies" (SBICs) to help
the financing and management of the small entrepreneurial businesses in the United States. During the 1960s and 1970s, venture capital firms focused
their investment activity primarily on starting and expanding companies. More often than not, these companies were exploiting breakthroughs in
electronic, medical or data–processing technology. As a result, venture capital came to be almost synonymous with technology finance.
It is commonly noted that the first venture–backed startup is Fairchild Semiconductor (which produced the first commercially practical integrated
circuit), funded in 1959 by what would later become Venrock Associates. Venrock was founded in 1969 by Laurance S.

Background Information Of Venture Capital
1.Background Information of Venture Capital
Venture capital plays an important role in the financial industry. In this part, we will introduce the concept, the participants, the differences with the
traditional financing and the process of venture capital.
1.1 Basic Concepts about Venture capital
The money source of venture capital is supplied by individual and/or institutional investors. Their mission is to finance startups, rapidly growing
companies or the ones that are in debt, hoping one day they can have a sizable return upon exit. Nowadays venture capital has played a more and
more important role in the investment market because this is a good way for new companies to receive funding capital. Not like regular source of
funding, venture capital is more like to supply small and new companies since these companies can't get funding capital from traditional way such as
banks. Venture firms provide venture capital to companies. It builds the connection from investors to invest. In this case, venture firms seek to help
companies that have the potential capacity to earn market and money and seek for a higher percentage of reward. Once the companies come into the
market or exit, venture firms get their investment back. Venture capital firms usually prefer high–technology industrial. However, in cases where
tremendous potential growth is present, those firms are also willing to step into traditional markets to realize their investment ideologies.
1.2 The

Methapath Software
For the exclusive use of J. MOTA
Harvard Business School
9–899–160
Rev. November 30, 1999
Metapath Software: September 1997
On September 29th, 1997, John Hansen called together his board to debate an interesting choice that his company had to make. Hansen–the CEO of
Metapath Software Corp., a Seattle–based provider of software and services to wireless carriers–had two offers to describe to his board.
The first was an offer to be acquired by CellTech Communications, a wireless products company who had only recently gone public. Under the terms of
the deal, Metapath's shareholders would at closing receive common stock in CellTech valued at $115 million. CellTech at that time had a market
capitalization of approximately $260 million. The ... Show more content on Helpwriting.net ...
In his discussions with analysts at major investment banks that underwrite technology IPOs,
Hansen had come away with two requirements for Metapath to be saleable as a public company.
One was that Metapath needed to attract more customers. As it stood, their revenue was all concentrated in four accounts, and the analysts feared the
their dependence on these few key customer relationships would make them seem too risky an investment. The other requirement was that Metapath
smooth out their quarter–to–quarter revenues, which had been choppy. Hansen's plan assumed that both of these problems would be worked out in a
year.
With that in mind Hansen and his board embarked on raising enough money to see them through to cash break–even and, ultimately, an initial public
offering.
RSC's Offer
Hansen and his CFO, Paul Bialek, contacted several late–stage and mezzanine funds to solicit their interest in a Metapath financing. Over time, two
funds emerged as candidates to lead the round
–Robertson Stephens Omega Fund (RSC) and Technology Crossover Ventures (TCV). In the subsequent discussions, RSC emerged as being quicker to
provide specific term sheets and so most of the negotiations took place with the partners at RSC. Subsequent to a term sheet being settled the company

invited TCV to join with RSC and the existing insiders to form a $11.75 million round.

The Russian Venture Capital Market
An entrepreneur looking to fund his/her startup in Russia can do so in many different ways, including but not limited to angel investment, venture
capital investment, crowdfunding and government funding. This essay will explain how each of the above mentioned options works and which of the
options is more beneficial for different types of startups, especially in the condition of current adverse macroeconomic condition. It is notable that even
though getting a funding through all of this ways is possible, the one that guarantees the most stability and support is getting funding through the
government. Unfortunately, due to unstable financial situation venture capital funds are not ready to invest in many businesses, and at the same time ...
Show more content on Helpwriting.net ...
Unfortunately, very few of them had survived through the default of 1998, and in 1999 the government had passed a bill that developed a strategy for
funding high–risk projects. The result of this bill was a Venture Investment Fund that formed the structure behind the Russian start up market and started
annual venture fairs, which provided the first ever networking opportunities between the entrepreneurs and investors in the country. The most
promising sector was proven to be IT, with such companies as Yandex (NASDAQ: YNDX), Rambler, Ozon, Mail Group (LSE: MAIL), and others
being the first recipients of these investments.
Private Equity and Venture Funds
Needless to say, that the adverse macroeconomic situation of Russia is being reflected in the venture market. First decreases in volumes began all the
way in 2013, with increased volatility on the currency market being the major driver behind all the main key performance indicators. As noted by Sai
Agnihotram, Junior Risk Officer at a Germany–based microcredit startup, Kreditech "Entering 2–3 projects is very risky and way too little for
diversification. With associated risks, investors have to come in only big. This is why, many of them are hesitant to enter the market at all." Within the
first 3 quarters of 2015, the overall number of investments decreased to 155, which is 66% of the investments done in the same period of 2014. The

Financing A Worldwide Expansion Strategy For A Limousine...

Recommended

Recommended

More Related Content

Similar to Financing A Worldwide Expansion Strategy For A Limousine...

Similar to Financing A Worldwide Expansion Strategy For A Limousine... (19)

More from Brenda White

More from Brenda White (20)

Recently uploaded

Recently uploaded (20)

Financing A Worldwide Expansion Strategy For A Limousine...