The first of a two-part sequence, this course focuses on the steps necessary to design and build a high impact business plan for the new venture. The development process is integrative, complex, and time consuming for the entrepreneur. Foundation or strategic level issues that impact the formation and growth of the new enterprise are addressed in this initial phase. The goal is to complete various sections of the business plan that deal with market opportunity, industry trends and developments, company positioning, competitive advantage, and core competencies. Working individually, students identify a new venture opportunity, develop the product offering, target customers market penetration, and determine revenue potential. This course is project oriented and makes extensive use of one-on-one interaction.
2 Credits

THE BUSINESS PLAN II:
Operating Strategies & Implementation

      Completion of the written business plan is the goal of this second phase of the planning process. The focus is on developing strategies that deal with the successful launch and implementation of the new enterprise. Course attention turns to designing the appropriate operational framework and business processes, including technology and infrastructure, that are needed to carry out and support activities. The business plan must demonstrate that the venture will have strong leadership along with a capable management team to deal with uncertainty and drive results. Finally, the business plan must incorporate detailed financial forecasts and financing methods, as well as address equity valuation and investor exit strategies. Emphasis is also placed on the format and packaging of the business plan. This course is project oriented and makes extensive use of one-on-one interaction. Prerequisite is The Business Plan I.
2 Credits

ANATOMY OF ENTREPRENEURSHIP:
Start-ups & Established Companies

      This interactive seminar focuses on the true meaning of entrepreneurship. The new venture opportunity is profiled from the perspective of managing innovation and creativity inside a corporate environment. Successful implementation of entrepreneurial activities for the developed company places special demands on senior management to promote discovery and create internal stakeholders. Course emphasis is also placed on the individual entrepreneur embarking on a new career path involving high risk and reward. Entrepreneurial management styles are analyzed and highlighted.
1 Credit

MARKET OPPORTUNITY:
Targeting Strategies & Selling Tactics

      The focal point of any business plan is identifying and understanding the target customer to be served. The product offering must have strong buyer appeal and capture immediate attention in the marketplace. The need to rapidly penetrate a marketplace demands that a marketing mix be designed, built, and implemented in a manner that leads to effective differentiation and superior market positioning. Maximizing marketing firepower, while making use of severely limited financial and organizational resources, is a major challenge and frustration that confronts most entrepreneurs. Market segmentation strategies, the target marketing process, forming market alliances, developing channel strategies, and managing the selling process are viewed from the perspective of early stage ventures and emerging growth companies.
1 Credit

SELLING IN A GLOBAL MARKET:
Hidden Treasure for the Entrepreneur

      Small enterprise increasingly has come to realize their marketplace may in fact be the world itself – a dynamic and highly complex environment where customer expectations and the approach to selling stand in sharp contrast to the domestic market. Success in the international arena is a formidable challenge for all organizations, but especially for the early stage company that must figure ways to get close to the customer in order to beat the competition and drive new revenue streams. This vSeries seminar will unearth some hidden gems that will allow a small firm or new venture inside the established company to compete when resources are extremely tight, markets and customers are largely unknown, and access is difficult. Every facet of selling to a global market is analyzed and dissected from planning to execution. Learning is reinforced through case study and practical application to real life situations.
1 Credit

INTELLECTUAL PROPERTY:
Management & Valuation

      New technologies create new markets and new venture possibilities. Their discovery and success rate, along with the ability of an enterprise to leverage these assets, depend on how the firm views and manages its investment in intellectual property. Obtaining the necessary legal protection of intellectual property can also serve as an effective barrier to entry and may be a source of competitive advantage. This seminar focuses on the strategic management of intellectual property as a profit-seeking enterprise. Methods of valuation, and various accounting and legal issues, are examined for their impact on strategic-level decision making.
1 Credit

PERFORMING AN ENTERPRISE AUDIT:
Analysis & Perspectives on Due Diligence

      New ventures must position themselves for long-term growth and market development. Entrepreneurs create enterprises, define their organizations, and build business models based on changes in technology, government regulation, demographics, and shifts in other exogenous variables. A strategy must be crafted that is sustainable over the long run. Success or failure is often predicated on market cycles, market saturation, supply/demand imbalances and other forces that are not controllable. This seminar places emphasis on assessing the market potential and valuation of start-ups from an industry or macro-perspective, particularly from the view of a venture capitalist. It also focuses on how to gather and make effective use of competitive intelligence.
1 Credit

PROCESSES & INFRASTRUCTURE:
Creating Production & Delivery

      This course provides an overview of the internal capabilities and the processes and technology platform required to fully operationalize the business plan. Critical business activities and functions are dissected, such as establishing back-end procurement, production, and distribution services that focus on supply chain management; determining the scope of front-end call center and e-commerce activities; managing logistics; and utilizing information technology and web-based solutions that effectively link customers, elements of the supply chain, and employees. These topics are explored from the perspective of the new venture as well as the emerging growth company.
1 Credit

THE NEW VENTURE ORGANIZATION:
Management, Design, & Governance

      Rapid growth presents unique and difficult organizational challenges. Expanding workloads and increased complexity of tasks require a smooth transition from entrepreneurial-style management to professional management. Timing is critical, and it is not an easy bridge to cross. This course dissects the design and characteristics of evolving organizations, where the need to correctly align structure and processes with market strategy is critical. It examines how entrepreneurial activities should be seeded, managed, organized, and executed. Additional course emphasis is placed on the important role that boards of directors play in early stage and emerging growth companies.
1 Credit

MANAGING INNOVATION & TECHNOLOGY:
Entrepreneurship in the Large Firm

      This seminar examines the foundation and drivers of new venture creation in the context of large, highly developed organizations. Companies must continuously innovate to survive. Corporate leaders must find ways to develop new products, new technologies and new business models to compete in industries that mature more rapidly than any other time in history. In order to succeed, the culture, resources, and systems must be aligned in a manner that stimulates change and promotes discovery. Through use of case studies, readings, and outside speakers, best practices are illustrated in the development of innovative strategies and management of technology. Attendees will also be exposed to the observations and opinions of thought leaders and practitioners in fields relevant to innovation across industries.
1 Credits

FINANCIAL FORECASTING:
Pro Forma Financial Statements

      No business plan would be complete without providing detailed financial projections and identifying the key assumptions that help shape the numbers. The financial translation of a business model is expressed through pro forma income statements, balance sheets, and sources and uses of funds. Having this information allows management, investors, and lenders to measure and evaluate future financial performance. It determines the capital required to launch the venture, support operations, and meet interim goals as the enterprise progresses from its initial start-up or acquisition. Course emphasis is placed on the use of forecasting methods and breakeven analysis, working capital and cash flow management, and identification of accounting and financial issues that impact on profit measurement and financial risk.
1 Credit

FINANCING START-UPS:
Seeking Outside Venture Capital

      This seminar provides an overview of the venture capital market, examines the nature and role of the venture capitalist, and analyzes whether and how venture capital financing may be the preferred approach in raising outside capital. Venture deals are closely examined in terms of types of equity instrument, methods of valuation, milestones and staged release of funds, special provisions that may include antidilution measures and other protective arrangements, and developing term sheets. Emphasis is also given to dissecting the process and criteria used to seek and attract venture capitalists, including angel investors. Various scenarios and trade-offs are covered in an intensive two-day program that includes experts from the venture capital community.
1 Credit

ESTABLISHING CREDIT FACILITIES:
Asset-Based & Cash Flow Financing

      Borrowing from a commercial bank or a credit intermediary can provide outside funding for working capital and equipment purchases in many situations. For start-ups, attention is often given to asset-based lending programs that make use of first liens on accounts receivable and inventory, or fixed assets, to provide added legal protection to creditors. For emerging growth companies, traditional line-of-credit financing may be feasible and desirable from a cash flow standpoint. Various borrowing alternatives, including leasing, are covered in this course along with covenants and restrictions that typically apply. Various loan programs of the Small Business Administration are also given emphasis.
1 Credit

DEVELOPING EXIT STRATEGIES:
Concepts & Approaches

      Sophisticated equity investors require that an exit or harvest plan be developed and that it be viable and capable of being executed within the time frame of the business plan. Venture capitalists and angel investors anticipate their future departure at the very point the deal is struck, and expect the financial reward will be worth the wait and risk. Various planned as well as unplanned exit strategies are analyzed in this course which include: an initial public offering (IPO), merger and acquisition (M&A), or possible liquidation of the business. Valuation methods, financial and tax implications, and due diligence are also examined.
1 Credit

TAXES & BUSINESS DECISIONS:
Recognizing Opportunities & Pitfalls

      A bargain purchase of a distressed company may appear to hold enormous possibility to an entrepreneurial management that is, until the acquirer finds that the so-called bargain purchase will result in an unanticipated multi-million dollar tax liability. This seminar presents taxation as a strategic management tool. Most major corporate transactions have significant tax consequences. Failure to consider the negative impact may cause financial harm, while ignoring potential tax benefits could result in missed opportunities. The purpose of this course is to provide a strategic view of Federal income tax consequences. Topics to be examined from a tax and financial perspective include: deciding on the appropriate legal entity; financing the purchase of assets; buy versus lease decisions; raising debt and equity capital in the financial markets; distributing corporate profits; and dealing with mergers and acquisitions.
1 Credit

COMPENSATION & STOCK OPTIONS:
Instilling Value-Creating Behavior for the Small Enterprise

      Human capital is the single most important asset of companies, especially for small enterprises that are early stage or late stage and experiencing rapid growth. A properly designed and well-executed executive compensation plan can help recruit, protect, motivate, and retain star performers. It serves as the financial firepower to bring about a strong and enduring commitment to organizational goals on the part of senior management and founders. This interactive seminar evaluates pay-for-performance and various types of stock options/grants used by growth-based companies to realize their strategic financial goals. Incentive strategy is also analyzed in terms of cash flow, tax implications, accounting impact, securities laws, and competitive factors. Other related topics include employment contracts, severance and non-compete clauses, and benefits from the perspective of the key employee as well as the privately-held firm.
1 Credit

INTEGRATIVE EXPERIENCE/NEW VENTURE INTERNSHIP

      Only MBA candidates electing a concentration in Corporate Entrepreneurship may enroll in either of these hands-on, project-oriented courses. Integrative Experience must meet the requirements of formal independent study and involve new venture creation within an existing company or as a stand-alone business. New Venture Internship may also be taken for credit assuming these same requirements are satisfied. This course may be substituted for MBA406.
1 Credit