F317 / Final Exam / Study Guide 50 Questions / Multiple Choice & True & False Types of Entities (and their characteristics) - LLC - S-Corp - C-Corp Types of Intellectual Property - Patents - Trademarks - Trade Secrets - Copyrights Before Venture Capital - Bootstrapping - Angel Investing - Family & Friends Types of Exit Strategies - Acquisition - Shearing - IPO The Equity Bible - Valuations: Example pg. 41 This is an appraisal or estimate of the worth of the business The chances of a high-potential venture succeeding in Silicon Valley is 1 in 10,000 Rate of Return: express as a percentage of the total amount invested Funding risk: probability of loss from higher funding costs …show more content…
- Issuing Equity Figuring out how to split founder’s shares between the team is perhaps the biggest decision you’ll make early in the life of your company. Equity discussions need to take place early in order to avoid harder, more emotion fueled discussions later. Founders that intend to drive the business long-term should receive the larger chunk of the equity. Part-time founders and non-performing founders should expect very little. Early cash is valuable. Vesting: the accrual of non-forfeitable rights to ownership over a pre-determined period of time. Pro-rata: proportionate allocation of a quantity on the basis of one common factor. Repurchase Agreement: agreement allowing the seller to buy back ownership at a later date for a nominal amount. - Types of Securities Debt capital: borrowing someone else’s money to finance the business under the condition that the money plus accrued interest must be paid back in full by an agreed upon date in the future Equity Capital: represents the risk capital staked by investors through the purchase of a company’s stock. De-risking: process of creating enough certainty in your company such that it becomes an attractive opportunity to a large pool of investors. - Waterfall Scenarios - Types of Anti-Dilution and Calculating the Same - Issuing Option Pools - Pre & Post Money Valuations - Needs and Concerns of Investors Required Rate of Return: The earlier the
The Force Field Analysis helps us to understand a situation Pier 1 faces and look at the propelling and restraining forces involved. The forces propelling Pier 1 to create an online virtual store are the potential increase in online sales with the relatively low startup cost of
1. How much obedience and loyalty does an agent employee owe to an employer? What if the employer engages in an activity—or requests that the employee engage in an activity—that violates the employee’s ethical standards but does not violate any public policy or law? In such a situation, does an employee’s duty to abide by her or his own ethical standards override the employee’s duty of loyalty to the employer?
Submit report with CRA matrix to Assignment Minder. Note that you need to attach the Assignment Minder ‘assignment cover sheet’ to the front of the document wallet.
As it applies to an IT environment, a vulnerability assessment is used to identify existing vulnerabilities giving the environment owner an awareness of what needs to be fixed (Who needs a Vulnerability Assessment, 2017). The assessment needs to be viewed for what it is, a onetime occurrence that in no way highlights all vulnerabilities. Multiple assessments of vulnerability must be conducted over time to ensure that as many possible avenues of weakness are explored, identified, and marked for improvement. As new systems are added, programs changed, or other changes to the system are made vulnerabilities might be created.
two major tribes were the Ostrogoth’s and the Lombard’s where power shifted several times, And the
-A person’s behavior can be influenced by observing others within the context of social interactions, experiences, and outside media influence.
Of all the naturally occurring events on Earth, earthquakes are among the most devastating and bring a lot of truth to the statement, “Just because something is natural does not mean it is not dangerous.” Earthquakes are one of the most natural things I can think of that can cause massive damage and loss of human live in many instances, and the effects are sometimes long term. “Nothing happens without a force. Many geophysicists accept the theory that continents move as a result of the forces generated by mantel convection deep within Earth – motions driven by our planet’s internal heat energy” (Trefil & Hazen, 2010). According to National Geographic (1996-2012), constant movement in the tectonic plates that make up the Earth’s
Debt financing, by contrast, is cash borrowed from a lender at a fixed rate of interest and with a predetermined maturity date. The principal must be paid back in full by the maturity date, but
When performing a BIA, you are trying to assess and align the affected IT systems, applications, and resources to their required recovery time objectives (RTOs). The
This paper will be based on the California Review Management study called "Misunderstanding the Nature of Company Performance: The Halo Effect and Other Business Delusions" by Phil Rosenzweig. The research processes that have been completed on business performances over the years, and the strengths and weaknesses of the types of data used will be discussed. The Halo Effect will be evaluated, and examples from my career will be given to help with understanding the topic at hand. I will give thoughts, ideas, and solutions I plan to adapt and work on in my career to help avoid the Halo Effect in my daily life
Debt is a financial instrument that is used to finance an organization by paying back borrowed capital with interest. Debt instruments are notes, loans, bonds, and debentures are used to pay for needs for an entity preferably in the short term. An advantage of good debt is the predictability of payments to
If you co-founded the company with someone else, a clear founder agreement is a must. While you and your partner may feel invincible, you guys have no idea the road you’ll are about to travel. So before any rash
Companies accessing the debt financing markets raise money by borrowing from a lender, creditor or investor with a promise of repayment of the funds with interest at the end of the loan’s term. The structure of the debt financing will vary depending on certain characteristics of the company, including its creditworthiness, the security package that it is offering and its overall size, as well as various other factors, including capital availability and the amount of funds that the company will require. Debt
If founder B leaves after two years, he or she will retain 22.5%. Founder B can walk away with the share, or founder A can purchase the 22.5% back for a reasonable price. The rest of the shares will be forfeited. If the founder leaves after four years, he or she will retain the full 45%.
Capital structure is defined as the mix of the long-term sources of funds that a firm use. It is composed of equity, debt securities and affect long-term financing of the entity. It is made up by shareholder’s funds, long-term debt and preference share capital. The capital structure mostly focus on the proportions of debt and equity displayed in the company financial statements, especially in the balance sheet (Myers, 2001). The value of a firm can be calculated by the sum of the value of its firm’s debt and equity.