Enfb 4190 Exam 1 Questions And Answers.

What kind of experience should a management team have {Ans: Entrepreneurial experience}When it comes to Economies of Scale, what is good and what is bad? {Ans: Good: Low or none Bad: high level}If your pre-money valuation is 1 M, and you need to raise 500 K, what is it worth after the investment? What % of the company do the investors have? {Ans: 1.5 M, 33.33%,}What is the most outsourced functions in early businesses (in order)? {Ans: 1. IT 2. Accounting 3. HR}Who is the demo-day pitch directed to after the accelerator program? {Ans: series A investors}What is due diligence? {Ans: deep dive into the pro forma. You try the product and interview the customers/coworkers too. Check out Patents, copy rights, trade secrets, trademarks. Look at the management team resumes as well as interview them. Check the management team/workers backgrounds. Analyze: financial statements, management salary. Negotiate the term sheet.}Hire people with _____ that are critical to your success & ______ to your skill set. {Ans: skills sets, complimentary}To go out and raise equity it takes _________ months {Ans: 6-month process}Who approves the issuance of stock, who hires the CEO (and sets salary),