The business of venture capital : insights from leading practitioners on the art of raising a fund, deal structuring, value creation, and exit strategies / Mahendra Ramsinghani.

Format:

Book

Author/Creator:

Ramsinghani, Mahendra.

Series:

Wiley finance series ; 612.

Wiley finance series ; 612

Language:

English

Subjects (All):

Venture capital.

Securities.

Physical Description:

1 online resource (428 p.)

Edition:

1st ed.

Place of Publication:

Hoboken, N.J. : John Wiley & Sons, c2011.

Language Note:

English

Summary:

The definitive guide demystifying the venture capital business The Business of Venture Capital covers the entire spectrum of a venture capital business, from raising venture funds to structuring investments, value creation as board member and assessing exit pathways. Author Mahendra Ramsinghani covers the distinct aspects of the venture capital fund raising and investment process with insights and perspectives from leading experts. Interviewees include Limited Partners (LPs) such as Credit Suisse, Grove Street Advisors and General Partners (GPs) from Foundry Group, Spark Capital, Benchm

Contents:

The Business of Venture Capital; Contents; Foreword; Preface; Acknowledgments; PART ONE Raising the Venture Fund; CHAPTER 1 The Universe of Limited Partners; An Overview of Alternative Assets; Sources of Capital; Comparison of Limited Partnerships; Summary; CHAPTER 2 Fund Due Diligence; Sourcing and First Screens; Fund Due Diligence: How LPs Evaluate Venture Firms; Evaluating the Fund Managers; Emerging Managers: A Promise of the Future; The Quest for the Elusive Top Quartile Managers; Fund Investment Strategy; Market Timing; Fund Size and Portfolio Construction vis-à-vis Fund Strategy

Fit within the LP's Current Portfolio Why LPs Terminate Existing Relationships; Summary; CHAPTER 3 Terms of Investment: The Limited Partnership Agreement; Sample Terms in a Fund's PPM; Other LP-GP Terms; What Matters Most; Summary; CHAPTER 4 Fund Structure, Governance, and Operations; Key Constituents of the GP Team; Finding Suitable Partners; Fund Governance and Economics; Governance of Management Services GP LLC; Summary; CHAPTER 5 Getting to the First Close; Build Your Target List of Investors; Fund Marketing Materials; Presentation Slides

Making the Presentation Pitch: Drink Your Own Kool-Aid Attracting the Lead Investor: Your "Nut"; Communicate, Create, and Maintain Momentum; Offering Sweeteners to Attract LPs: A Double-Edged Sword; The Role of Placement Agents in Fund-Raising; Caveat Emptor; Summary; PART TWO The Investment Process; CHAPTER 6 The Art of Sourcing Investment Opportunities; The Best Source: The Network; The Fountainheads of Academia and Research; Corporate Research; Venture Events and Trade Conferences; Venture Farming; Angels and Pledge Funds; Business Plan Competitions; Cold Calling

You Win Some, You Miss Some Summary; CHAPTER 7 The Art of Conducting Due Diligence; What Is Important: Jockey, Horse, or Markets?; Attributes of the Jockey; Serial Entrepreneurs versus First-Time Entrepreneurs; What about Charisma?; Management Team Due Diligence: How to Assess the Jockey; The Importance of Conducting Background Investigations; Assessing the Market; Evaluating the Idea or Product; Reviewing the Business Model; Considering the Financial Projections; Weighing the Importance of Business Plans; The Due Diligence Checklist; Summary

CHAPTER 8 The Basics of Corporations, Ownership, and Control Authorized Shares and Issued Shares; Shareholder Rights; Role of the Board; Summary; CHAPTER 9 Valuation Methods and Other Voodoo Arts; The Drivers of Valuation; The Simplified Form of the VC Method of Valuation; Comparable Valuations of Similar Investments (Comps); Discounted Cash Flow Method; Summary; CHAPTER 10 Structuring Investment Transactions; The Spirit of the Term Sheet; Negotiation Stress Points; Milestone-Based Financing: Risk Mitigation or Distraction; Structuring Terms to Generate Target Returns

Governance and Control: Protecting Your Securities

Notes:

Description based upon print version of record.

Includes bibliographical references and index.

ISBN:

1-118-13040-5

1-283-27383-7

9786613273833

1-118-13038-3

OCLC:

759037247