This document summarizes key concepts from two sessions on finance for entrepreneurs. Session 1 introduced technical students to key financial concepts needed for starting a business, including principles, equations, investors' objectives and stages of financing, venture capital, and leverage. Session 2 covered the business plan, pricing models and methods, the business model, and other financial tools. It provided guidance on what investors look for in financial summaries and highlighted the importance of understanding drivers of a business like marketing strategy and product success.

1. Spring 2011
Week 2
Tetuan Valley, April 2011

2. Con la colaboración de Centros participantes

3. FINANZAS PARA EMPRENDEDORES
OBJETIVO SESIÓN 1
• Conceptos
Introducir a estudiantes de pérfil técnico • Principios
los conceptos financieros clave a la hora • Ecuaciones
de emprender
• Inversores; Objetivos y restricciones, etapas, “Capital riesgo” y
Palancas de Valor
RESULTADO • Conclusiones para el emprendedor
•Comprensión de los indicadores
financieros clave
•Capacidad para parametrizar los SESIÓN 2
modelos facilitados de cara a valorar una • Business Plan
startup y presentar las proyecciones • Precio
finnacieras a inversores • Modelo de Negocio
• Otras herramientas
DURACIÓN
2 sesiones 4h
18/04/2011

4. FINANZAS PARA EMPRENDEDORES – Sesión 2
1. The Business Plan
2. The Price
3. The Business Model
4. Other Tools
18/04/2011

5. My time is valuable… how much
m
will I spend looking at your BP
4/18/2011

6. 18/04/2011

7. What investors
are looking for
…and so should
YOU
4/18/2011

8. Your
Company
Your
Investor
Your
Numbers
4/18/2011

9. WHAT WE INCLUDE IN A FINANCIAL 1 PAGER: COMPANY
 Opportunity description
WHO ARE YOU  Business Model
 Need Satisfied
 Products / Services
WHAT DO YOU DO  Market Objective
 Competitors
HOW DO YOU  Sales & Marketing Strategy
ACHIVE IT  Current and Funnel Clients
OPPORTUNITY FOR  Investment Allocation
THE INVESTOR  Exit Strategy
4/18/2011

10. WHAT WE INCLUDE IN A FINANCIAL 1 PAGER: INVESTOR
 Business Sector (Tags)
 Contact Information
 Executive Team
 Financial Information RELEVANT
― Investment Stage
― Current Capital
INFORMATION
― Monthly Burn Rate
FOR THE
― Pre-Money Valuation INVESTOR
― Investment Capital
 Current Investors
 Forums
4/18/2011

11. WHAT WE INCLUDE IN A FINANCIAL 1 PAGER: NUMBERS
Multiplier Año1 … Año n
Revenues
CF Breakeven EBITDA
Net Result
Assets
Liabilities
Cash
Money… when
and how much
4/18/2011

12. FINANZAS PARA EMPRENDEDORES – Sesión 2
1. The Business Plan
2. The Price
3. The Business Model
4. Other Tools
18/04/2011

13. PRICING METHODS - BENCHMARK
Useful for similar
products
Difficult to obtain data
Be careful
 What you compare
 Units
 Time
 Location
Tabulate data and
present in graphs or
simple tables
18/04/2011

14. PRICING METHODS - MARKUP
Useful for established
products in competitive
atmosphere
Always lower limit
Easy to obtain data… your
company
Be careful
 Over price
 Cost Allocation
 Unitary marginal,
variable and fixed cost
18/04/2011

15. PRICING METHODS – VALUE ADDED
Useful for breakthrough
technologies
Clearly explain the gains
the client will have
Difficult to obtain data
Always upper limit
Be careful
 What are the needs of
the client
 Determine the value
per use
18/04/2011

16. FINANZAS PARA EMPRENDEDORES – Sesión 2
1. The Business Plan
2. The Price
3. The Business Model
4. Other Tools
18/04/2011

17. What makes your business tick
Up and Down… almost ALWAYS is related
4/18/2011

18. How to determine your business drivers
Target: Commercials in FMCG companies
How
5.000 users first year , recurrent and growing
How Go to 5 of the 100 companies in the market
How 1 Market Average is 1000 users/ client
Do you still have 5.000 Users?
I personally (or my network) know 5 decision takers in
How 2 those companies, initial prospection has been made
Do you still have 5.000 Users?
3 Do de companies have control over the users?
Do you still have 5.000 Users?
How 4 Are my clients going to demand a trial phase
Do you still have 5.000 Users?
5 Success in conversion rate from trial to client?
Do you still have 5.000 Users?
4/18/2011

19. Usefulness
Target: Commercials in FMCG companies
5.000 users first year , recurrent and growing
Go to 5 of the 100 companies in the market
Marketing / Sales
Strategy 1 Market Average is 1000 users/ client
Do you still have 5.000 Users?
I personally (or my network) know 5 decision takers in
Scalability 2 those companies, initial prospection has been made
Do you still have 5.000 Users?
Success of
product / service
3 Do de companies have control over the users?
Do you still have 5.000 Users?
4 Are my clients going to demand a trial phase
Do you still have 5.000 Users?
5 Success in conversion rate from trial to client?
Do you still have 5.000 Users?
4/18/2011

20. Revenue Streams
Asset Sale
Usage Fee
Subscription Fee
Lending / Renting / Leasing
Licensing
Brokerage / Commissioning
Advertising
4/18/2011

21. Don’t be afraid…
Your own matrix …
We will help you with an standard
18/04/2011

22. 18/04/2011

23. FINANZAS PARA EMPRENDEDORES – Sesión 2
1. The Business Plan
2. The Price
3. The Business Model
4. Other Tools
18/04/2011

24. 18/04/2011