Entrepreneurial Finance

by Richard L. Smith and Janet Kiholm Smith

Book Overview

Smith and Smith apply current thinking in the areas of valuation, real options, and the economics of contracts to new venture decision making. Readers learn to think of new ventures as portfolios of real options, value financial claims of the entrepreneur and venture capital investors, and structure financial contracts in light of new venture information problems. They also learn to use simulation and scenario analysis to evaluate the implications...

• Format: Hardcover
• Language: English
• ISBN: 0471230723
• ISBN13: 9780471230724
• Release Date: October 2003
• Publisher: Wiley
• Length: 640 Pages
• Weight: 2.65 lbs.
• Dimensions: 1.2" x 7.2" x 9.7"

Customer Reviews

Book

Well, I agree case studies are always good. However, numbers are also good, -they allow a company to be looked at in a different way, to determine the veracity of what the people may be saying about their company's profitability, etc...Bonjour Colinne! Ca va? tienclee@aol.com

The rational of financial economics and venture financing

In this book the authors have blended business finance and economics in a unique way to help entrepreneurs understand the relationship between venture finance and evaluation of business risk. This book covers some important issues like financial projections, risk evaluation, financial valuation, investor diversification and contract negotiation. This book provides a framework for financial management using complex economic theories (ex. portfolio theory, capital asset pricing model) through simple and user friendly spreadsheet templates. The valuation framework with spreadsheet templates is one of the highlighting factors of this book. The valuation templates with their underlying assumptions help reduce the ambiguity that palgues venture financing today. This book comes with an access to Entrepreneurial Finance website where authors walk the readers through spreadsheet templates and sample business cases evaluated by them in the book. This book is a must buy for entrepreneurs, aspiring entrepreneurs, venture capitalists and academics.

Ammo for the "Shark" Infested Waters

For those interested in "venturing" into the shark invested venture capital (venture cannibals?)waters, don't go without first arming yourself with this practical, how-to guide. Entreprenurial Finance is unique in that it REALLY can be used by all investment players: entrepreneurs, bankers and VC's. Further, this is not just a book, but is accompanied but an Internet site that "holds your hand" through on-line spreadsheets for some of the scarier parts of finance, like valuations, but does not exclude the basics, like business plan spreadsheets. The Internet site is easy to use and self explanatory. The book and Internet site set the standard for how educational tools should be designed. In sum, a book every entrepreneur, student and investor should have on their bookshelf and bookmarked on their computer.BRAVO !

An Invaluable Resource!

An excellent read for anyone seeking to become an entrepreneur or a serious finance student. A new approach to valuing new ventures which incorporates simulation to explore the uncertainty surrounding new ventures. The book provides many great case examples and valuation templates to assist. I found this book very useful to my finance education. I would highly recommend this book to anyone considering a new venture or anyone serious about finance. A great resource for professionals in the venture finance community as well!

A Must Read in Today's New Venture Economy!

This book explores the entire new venture process. A must read for anyone serious about starting a new venture or anyone interested in the new venture process. The book is easy enough for the financially-challenged and yet still interesting and challenging to the more advanced reader. The book also explores simulation and an accompanying Excel add-in, Venture.Sim, carries out the simulation. I highly recommend this book to finance students and professionals, well worth the investment!