Venture Capital and Private Equity (235)

The dynamic private equity finance market is increasingly important both within the U.S. and internationally. The financing of innovation will continue to play a critical role in the economy, even in the context of shifting market conditions. This course uses the case method to study entrepreneurial finance and venture capital. In some cases, we will consider issues faced by entrepreneurs who are setting up new firms, while in others we will analyze the decisions of private equity partnership managers and investors. The course will analyze how transactions are structured and why investors and entrepreneurs choose certain contractual arrangements. We will develop an understanding for the institutional context of private equity finance. Students will acquire tools for conducting valuations in entrepreneurial settings. In addition to studying venture capital and private equity, we will devote some time to leveraged buyouts.

(Offered Winter 2014)