FIR 7648 – Entrepreneurial Finance Syllabus

Instructor: Steven J. Jordan, PhD

Office Hours: Wednesday 10:00 pm – open …or… by Appointment

E-Mail: sjjordan@memphis.edu

Course Description:

It is important to note that Entrepreneurial Finance is first and foremost a finance course. Thus,

this course will concentrate on understanding the various financial funding sources, typical

financing structures, and how these affect an entrepreneur’s ownership interest.

This course is designed to accomplish the following objectives: (1) To understand both the

private and public securities markets; (2) To understand the laws regulating these markets and

some of the legal implications; (3) To understand the various stages involved in starting a new

venture; (4) To understand alternative means to financing new business ventures; (5) To

understand the basics of evaluating the risk and return of new business ideas.

The class can be thought of as three parts. The first third covers theory and how a firm’s

ownership and control after various finding schemes. The second third covers the different

financial markets and will mostly be presented via guest speakers currently working in Memphis

in each particular field. Please use these guest speaking opportunities as a chance to network and

make contacts. The last third will be student participation with a large part coming from student

presentations on topics chosen by each student. This allows a student to personalize the course

towards their specific interests and current needs as an entrepreneur.

Required Textbook:

There is no required text for this course. Material will be made available throughout the course.

Grading:

Class participation 20%

Attendance 20%

Presentations 30%

Projects/Exams 30%

Policies:

1. Your success in this class is important to me. I will be available to assist you during

office hours or by appointment. Please feel free to ask for help.

2. Utmost ethical conduct is expected from everyone. Academic dishonesty and cheating in

the completion of any course requirement will result in the appropriate academic and

university penalties to the extent that an "F" may be assigned for the course grade and the

student may be dismissed from the University for disciplinary reasons.

3. All reports should be submitted on or before the due date. DELAYED REPORTS WILL

NOT BE ACCEPTED AND THERE WILL BE NO MAKE-UPS for any course activity.

4. Cellular phones/pagers must be turned off in class. If you are expecting an urgent call,

please set your phone to vibrating signal and sit close to the door to limit class disruption.

5. WARNING: If you have not met admissions criteria for the Graduate School and this

section is checked for Graduate School requirements, you may be administratively

dropped. This will also happen if you have not completed the course prerequisites.

Tentative Schedule: NOTE: This is a suggested schedule. This will change according to the interests of the students in the class. We may not cover

all topics listed. If you are interested in a specific topic, please bring it to my attention.

Topic (May change)

Overview of the private equity market

Federal and state security issuance laws

(special emphasis registration exemptions)

Project return evaluation (NPV, IRR and other measures)

Real option valuation

Evaluating project finance alternatives

Financing the venture

- Borrowing from Banks and Finance Companies

- Understanding Capitalization Tables

- Series A and Series B round financing

- Equity IPO and other exit strategies

Possible Student Presentations (Must clear topic with professor. Topics are not limited to

the list below.)

- Reg D – An important exemption to federal filings

- Legal tax avoidance

- Internet & Crowd funding

- Overseas affiliate strategies

- Intellectual property (licensing, patents, etc)

- Outsourcing as a competitive edge

- Pros & Cons of international vs. US start ups

***** Please let me know if you are interested in presenting a specific topic *****

Outside Guest Speakers (dates = To be announced)

Business plan basics –

Due diligence & Screening –

Angel financing -

Mezzanine markets –

Venture Capital -

M&A -

Student Suggestions – Please talk to me if you are interested in a specific topic