1 / 7

Screening New Venture Opportunities Chapter Five

Screening New Venture Opportunities Chapter Five. Dowling BA 560 Fall 2006. Anchors of Superior Businesses. Create or add significant value to a customer or end user Solve a significant problem, or meet a significant want or need, for which someone is willing to pay a premium.

mickey
Download Presentation

Screening New Venture Opportunities Chapter Five

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Screening New Venture OpportunitiesChapter Five Dowling BA 560 Fall 2006

  2. Anchors of Superior Businesses • Create or add significant value to a customer or end user • Solve a significant problem, or meet a significant want or need, for which someone is willing to pay a premium BA560 Venture Planning Prof. Dowling

  3. Anchors of Superior Businesses • Are a good fit with the founder(s) and management team at the time and marketplace and with the risk-reward balance BA560 Venture Planning Prof. Dowling

  4. Anchors of Superior Businesses • Have robust market, margin, and moneymaking characteristics • Large enough ($50 million+) • High growth (20 percent +) • High margins (40 percent +) BA560 Venture Planning Prof. Dowling

  5. Anchors of Superior Businesses • Have robust market, margin, and moneymaking characteristics • Strong and early free cash flow (recurring revenue, low assets, and working capital) • High profit potential (10 to 15 percent + after tax) • Attractive realizable returns for investors (25 to 30 percent + IRR) BA560 Venture Planning Prof. Dowling

  6. Screening Methodologies • Quick Screen • Provides a broad overview of an idea’s potential • Enables the entrepreneur to conduct a preliminary review and evaluation of an idea in a short period of time BA560 Venture Planning Prof. Dowling

  7. Screening Methodologies • Venture Opportunity Screening Exercises (VOSE) • Segments the screening of ideas into extremely detailed but manageable pieces BA560 Venture Planning Prof. Dowling

More Related