This case study introduces students to the nuances of deal structuring between company founders and venture capital firms. Specifically, the learning objectives for the case exercise include the following: (1) apply the venture capital method to value entrepreneurial ventures and structure...

The traditional approach to evaluating investments in emerging economies has been to add a political default premium to the discount rate used to evaluate the investment's net present value. This approach contrasts with the textbook approach that accounts for political risk by adjusting expected...

Liquidation preference and participation rights are common features of term sheets involving the use of preferred stock in venture financing. Both these features are typically found in venture financing term sheets and enhance the position of the venture investor compared to company founders....

This case study introduces students to the nuances of deal structuring between company founders and venture capital firms. Specifically, the learning objectives for the case exercise include the following: (1) apply the venture capital method to value entrepreneurial ventures and structure...

This note provides an overview of the deal structuring process between company founders and venture capital firms. Specifically, the note: (1) reviews the use of the venture capital method to value venture investment opportunities and structure the financing arrangement between the founders of...

Our objective in this paper is to provide a pedagogical discussion of the process by which creditors take control of distressed firms. Distress or vulture investing requires a high level of business acumen combined with deep knowledge of accounting, finance, and corporate and restructuring law....

Entrepreneurs who deal with a venture capital firm (VC) for the first time often find themselves unprepared for the experience. The financing terms (deal structure), which specify the percentage of the firm's common stock that goes to the VC often require that the entrepreneur forfeit a large...

Dramatic claims have been made about the effect of shale gas discoveries in the continental U.S. on the country's energy needs. However, several industry experts question the estimated volume of recoverable reserves as well as the economic viability of producing them at current market prices for...