Class Information Class #2 – September 30

1. Class InformationClass #2 – September 30 Business 095 – 4 credits Tuesdays - 5pm-8:40pm KCI building, Room 4006 Ben Dubin ben@dubin.com Mobile number: 408-621-0170 – Text me or call me. Leave a message I don’t answer and I will get back to you. Don’t forget to tell me who you are in your text)

2. Important Dates & Deadlines

3. Schedule

4. Class Blog • http://bus95.blogspot.com • All files from class will be there along with some interesting required readings

5. Signing up for the class Late Add & Drop: There's Still Time to Register for the class I have plenty of Add Codes!!!

6. Murray Aquarius – born February 8th

7. Textbook $11.99 Kindle edition, $17.59 hardcover - Amazon

8. Textbook • First assignment: • I want everyone in the class to register for LinkedIn • www.linkedin.com • And then connect with me on LinkedIn

9. News • First assignment: • I want everyone in the class to register for LinkedIn • www.linkedin.com • And then connect with me on LinkedIn

10. Textbook • First assignment: • I want everyone in the class to register for LinkedIn • www.linkedin.com • And then connect with me on LinkedIn

11. Ebay to Spin out Paypal

12. Ebay to Spin out Paypal Ebay bought Paypal in 2002 for $1.4B Lots of stuff going in the online payment space

13. Ebay to Spin out Paypal Ebay is worth $65B and the stock is up 8% on this news Carl Icahn Needs a new CEO “Value” to be generated in this spin out!

14. Business • What is a Business???????? • A business is a legally recognized organization designed to provide goods and/or services to consumers, governments or other businesses.

15. Business A business needs many things to operate, but above all, what does it need most? A business needs a market.

16. Business What is a market???

17. Business Someone to BUY you stuff, service, etc.

18. Business A consumer is an essential part of a business.

19. Business Businesses are predominant in capitalist economies, most being privately owned and formed to earn profit to increase the wealth of owners.

20. Business The owners and operators of a business have as one of their main objectives the receipt or generation of a financial return in exchange for work and acceptance of risk.

21. What do we call someone that starts a business or creates new things?

22. Entriprenur Entraprenur Entreprenur Entrapreneur Entrepreneur Entriprineur Entrepraner Entrapner A crazy person!

23. Entrepreneur

24. “Entrepreneur” entrepreneur /ontr pr nör/   • noun a person who sets up a business or businesses.   — DERIVATIVES entrepreneurial /ontr pr nöri l, -nyoori l/ adjective entrepreneurialism noun entrepreneurially adverb entrepreneurism noun.   — ORIGIN French, from entreprendre ‘undertake’. Date: 1852

25. “Entrepreneur” House OKs small biz $42 Billion jobs bill The idea is that community banks do the lion's share of lending to small businesses, and pumping capital into them will get money in the hands of Main Street businesses. Help for start-ups: Currently, entrepreneurs can deduct up to $5,000 in start-up expenses. That amount is reduced by the amount that the start-up's expenses exceed $50,000. The bill would increase the deduction to $10,000 for 2010, and the deduction would be reduced by the amount that an entrepreneur exceeds $60,000  100% exclusion of capital gains: The bill would eliminate capital gains taxes on investments in qualifying small businesses 

26. Rapid SmallBusiness Growth • 23 Million • Employment • 75% Of New Jobs • 50% Of Private Employment • 99% Of Employers • 97% Of Exporters

27. Rapid SmallBusiness Growth Firms with 1 to 4 employees 2,777,680 Firms with 5 to 9 employees 1,043,448 Firms with 10 to 19 employees 632,682 Firms with 20 to 99 employees 526,355 Firms with 100 to 499 employees 86,538 Firms with 500 employees or more 17,047 Firms with 500 to 749 employees 5,695 Firms with 750 to 999 employees 2,709 Firms with 1,000 to 1,499 employees 2,828 Firms with 1,500 to 2,499 employees 2,281 Firms with 2,500 employees or more 3,534 Firms with 2,500 to 4,999 employees 1,739 Firms with 5,000 to 9,999 employees 905 Firms with 10,000 employees or more 890 5,083,750 companies with 500 less 20,581 companies with 501 employees or more

28. Almost every company starts as a small company Why?

29. Almost every company starts as a small company

30. Almost every company starts as a small company

31. Almost every company starts as a small company

32. Almost every company starts as a small company

33. Almost every company starts as a small company

34. Almost every company starts as a small company Before After

35. Almost every company starts as a small company

36. Microsoft today Revenue = $86.833 billion (ending 6-30-14) Net income = $22.074 billion Market Cap = $381.59 billion (today) 128,000 employees (6/30/2014 data)

37. Microsoft today • Revenue per employee • $678,382 • Net Income per employee • $172,453

38. Microsoft today 793,130,944

39. Microsoft today 46.25

40. Microsoft today $46.25 = share price for Microsoft today

41. Microsoft today A share price is the price of a single share of a number of saleable stocks of a company. Once the stock is purchased, the owner becomes a shareholder of the company that issued the share.

42. Microsoft today 793,130,944

43. Microsoft today $ 36,682,306,160

44. Microsoft today • In September 2013 = • $ 25,784,686,989

45. Microsoft today $ 36,682,306,160 = the dollar value today of Bill Gates’ holdings in Microsoft

46. Microsoft today • $ 968,779

47. Microsoft today • $ 968,779 = it WAS Bill Gates’ salary • Today it is $0

48. Microsoft today Last March the stock was $27.65, this afternoon it was $46.25 = $18.60 positive change

49. Microsoft today $18.60 change So what?

50. Microsoft today 4 Big Macs!