What is a “start-up”?A startup company or startup is a company with a limited operatinghistory. These companies, generally newly created, are in a phase ofdevelopment and research for markets. The term became popularinternationally during the dot-com bubble when a great number of dot-com companies were founded.
Business incubator Business incubators are programs designed to accelerate the successful development of entrepreneurial companies through an array of business support resources and services, developed and orchestrated by incubator management and offered both in the incubator and through its network of contacts. Unlike many business assistance programs, business incubators do not serve any and all companies. Entrepreneurs who wish to enter a business incubation program must apply for admission.
Venture capitalVenture capital (VC) is moneyprovided to early-stage, high-potential, high risk, growth startupcompanies. The venture capital fundmakes money by owning part of thethe companies it invests in, whichusually have a novel technology orbusiness model in high technologyindustries, such as biotechnology, IT,software, etc.
Angel investor An angel investor or angel (also known as a business angel or informal investor) is an affluent individual who provides capital for a business start-up, usually in exchange for convertible debt or ownership equity. A small but increasing number of angel investors organize themselves into angel groups or angel networks to share research and pool their investment capital. All the same, angels typically invest their own funds, unlike venture capitalists, who manage the pooled money of others in a professionally-managed fund.
Dot-com bubble The dot-com bubble (also known as the Internet bubble and the Information Technology Bubble) was a bubble economy covering roughly 1995–2000 during which stock markets in industrialized nations saw their value rise rapidly, primarily from growth in the new Internet sector and related businesses.Many people are always concerned about the rise of a new bubble economy, so itis sometimes difficult to raise money for your start-up business if too manyinvestors believe that the market has peaked.
Exit strategy An exit strategy is a means of leaving ones current situation, either after a predetermined objective has been achieved, or as a strategy to mitigate failure. An organization or individual without an exit strategy may be in a quagmire. At worst, an exit strategy will save face; at best, an exit strategy will peg a withdrawal to the achievement of an objective worth more than the cost of continued involvement.
Liquidity eventIn corporate finance, a liquidity eventis an umbrella term that describes oneof several events, typically a purchaseof a corporation or an initial publicoffering. A liquidity event is a typicalexit strategy of a company, since theliquidity event typically converts theownership equity held by a companysfounders and investors into cash.
What do you think?• Do you think anyone can start their own business?• What are the dangers of having your own business?• What kind of business would you like to start? Would you prefer to start a “bricks ‘n’ mortar” business or an Internet business?
Entrepreneurs An entrepreneur is an owner or manager of a business enterprise who makes money through risk and initiative. The term was originally a loanword from French and was first defined by the Irish-French economist Richard Cantillon. Entrepreneur in English is a term applied to a person who is willing to help launch a new venture or enterprise and accept full responsibility for the outcome. If a business person is known for starting several different businesses, that person might be known as an entrepreneur.
Sean ParkerSean Parker (born 1979) is an AmericanInternet technology businessman andentrepreneur. He co-founded Napster, Plaxo,Causes, and Airtime, and was Facebooksfounding president. His net worth isestimated at $2.1 billion.When Parker was 15, he met 14 year-oldShawn Fanning over the internet. A few yearslater, Fanning and Parker co-founded Napster,a free file-sharing service for music. Parkerraised the intial $50,000, and they launchedNapster in June 1999. Within a year, theservice had tens of millions of users. Lawsuitsby various industry associations eventuallyshut down the service. Napster has beencalled the fastest growing business of alltime, is credited with revolutionizing themusic industry
Elon Musk Elon Musk (born June 28, 1971) is an American engineer and entrepreneur best known for co-founding PayPal, SpaceX and Tesla Motors. He is currently the CEO and CTO of SpaceX, CEO and Product Architect of Tesla Motors and Chairman of SolarCity. Musk is best known for having created the first viable production electric car of the modern era (Tesla Roadster), for designing a private successor to the Space Shuttle (F9/Dragon) and creating the worlds largest Internet payment system (PayPal). Musk currently holds both a B.S. in Economics and B.A. Physics from the University of Pennsylvania. His net worth is estimated to be over $872 million.
Tesla MotorsTesla Motors, Inc. is a Silicon Valley-basedcompany that designs, manufactures and sellselectric cars and electric vehicle components.It was the only automaker building and sellinga zero-emission sports car in serial production(as opposed to prototype or evaluation seriesproduction).Tesla Motors first production vehicle, the TeslaRoadster, is an all-electric sports car. The carhas a range of 245 miles (394 km) per charge.The Tesla Roadster can accelerate from zero to60 mph (97 km/h) in under 4 seconds and hasa top speed of 125 mph (201 km/h). The baseprice of the car is US$109,000.
Larry EllisonLawrence Joseph "Larry" Ellison (born August 17,1944) is the co-founder and chief executive officerof Oracle Corporation, one of the worlds leadingenterprise software companies. As of 2011, he isthe third wealthiest American citizen, with anestimated worth of $33 billion.During the 1970s, Ellison worked for AmpexCorporation. One of his projects was a database forthe CIA, which he named "Oracle". In 1977, hefounded Software Development Laboratories (SDL).In 1979, the company was renamed RelationalSoftware Inc., later renamed Oracle after theflagship product Oracle database. Today Oracle isthe largest database software company in the worldwith an annual revenue of $35.6 billion.
What do you think?• What business skills do you have?• Do you think you’d be a tough person to work for?• Do men or women make more successful business people?• Who would be your business hero?