PTMBA2023 Entrepreneurial Finance
We are living the golden age of entrepreneurship. Thousands of new ventures are started every month around the world. And never before are so many people enamored with the idea of launching their own business as they are nowadays. Yet, about three-quarter of start-ups do not return investors’ capital, and a good portion of survivors limp along without access to more capital1. While these failures can stem from dramatic shifts in markets and technology, poor financial management of the venture is no less responsible for them.
In this course, we focus on financial economic foundations of a new venture. We examine a new venture’s financing options, appropriate capital and governance structures, and risk management tools at each stage of its lifetime, from idea to exit. These choices are complex in nature, create path dependency (i.e. have long-term repercussions for future financial decisions), and substantially influence the magnitude of economic value created and captured by the start-up, and how this value is distributed among its shareholders.
The course is divided into four modules.
| Date | Time |
|---|---|
| Sunday, 16.10.2022 | 09:00 - 16:30 |
| Saturday, 22.10.2022 | 10:00 - 17:30 |
| Sunday, 23.10.2022 | 10:00 - 17:30 |
| Monday, 07.11.2022 | 23:50 - 23:59 |
There is no textbook.
Course slides will be uploaded on Moodle one week before the first session.
We will use our proprietary online simulation software to run valuation and waterfall exercises. Practical information about simulations will be provided separately on Moodle. Each group should be in possession of at least one laptop to perform the simulations.
All the required readings will be uploaded on Moodle.
- Class participation: 15%
- Individual take home essay: 50%
- Group simulation exercises: 10%
- Group assignment: 25%
Further details will be stated in the Syllabus.