Venture Capital and Growth Finance - BUSI97182
Growing their ventures poses both exciting and frustrating challenges for entrepreneurs, none more so than raising finance. Entrepreneurs in growing firms are typically unable to generate the funds they need for growth from their own revenues and resources but must seek external funding. This means they have to persuade investors such as venture capital firms to provide substantial amounts of money to support what may be little more than an idea or often at best a venture with a limited track record. They are also likely to have to trade some of their ownership of the venture for the opportunity to achieve greater returns. Accessing growth finance is therefore complex and uncertain. The module aims to demystify this process by showing how venture capital providers go about making their investments and explaining how entrepreneurs in growing firms can make their ventures investor ready.
The module builds on the earlier modules in the module and on the experiences of leading financiers and entrepreneurs and aims to provide students with the expertise to understand and access finance within growing ventures.
The module draws on insights from the Business School’s world leading research programmes on high growth entrepreneurs, venture capital and private equity, including the Centre for Management Buyout Research as well as our experience working with organizations involved in the funding of high growth ventures such as the British and European Venture Capital Associations, NESTA, Barclays Private Equity, Ernst & Young, and many other venture capital and private equity firms. By the end of the module, students should be able to understand entrepreneurs’ financing needs in growing ventures, what the financiers of growing ventures look for in deciding to invest and how financiers assess, value structure, monitor and exit their investments. Students should know about different ways to growth and the different types of providers of growth finance.