Entrepreneurial Finance

Subject FNCE30006 (2013)

Note: This is an archived Handbook entry from 2013.

Credit Points: 12.50
Level: 3 (Undergraduate)
Dates & Locations:

This subject is not offered in 2013.
Time Commitment: Contact Hours: Three hours of lectures/seminars per week
Total Time Commitment: Not available
Prerequisites:

FNCE20001 Business Finance and one of ECOM20001 Introductory Econometrics, ECON20003 Quantitative Methods 2, MAST20005 Statistics, 620-270 Applied Statistics, MAST20004 Probability, MAST20006 Probability for Statistics, 620-261 Introduction to Operations Research (2008 or earlier), MAST20018 Discrete Maths and Operations Research or MAST20029 Engineering Mathematics.
Corequisites:

None
Recommended Background Knowledge:

Please refer to Prerequisites and Corequisites.
Non Allowed Subjects:

None
Core Participation Requirements:

For the purposes of considering requests for Reasonable Adjustments under the Disability Standards for Education (Cwth 2005), and Students Experiencing Academic Disadvantage Policy, academic requirements for this subject are articulated in the Subject Description, Subject Objectives, Generic Skills and Assessment Requirements for this entry.

The University is dedicated to provide support to those with special requirements. Further details on the disability support scheme can be found at the Disability Liaison Unit website: http://www.services.unimelb.edu.au/disability/

Contact

handleyj@unimelb.edu.au

Subject Overview:

Issues associated with financing entrepreneurial ventures, and the valuation and investment issues associated with new ventures. Major topics include investment analysis, financing the new venture, harvesting, and renewal in the entrepreneurial firm. The subject covers entrepreneurial finance, venture capital and general principles of investing in high (biotechnology, nanotechnology, information technology, e-business) and low technology.
Objectives:
  • Construct new venture financial models
  • Assess the timing and amounts of financial needs
  • Estimate risks and expected returns of financial claims
  • Value financial claims in light of diversification
  • Evaluate alternative venture strategies
  • Estimate the effects of complex options on value
  • Design and negotiate ""deals""
  • Address information and incentive problems
  • Understand the institutions of new venture finance
  • Develop a business plan to attract outside funding
  • Deal with uncertainty and incomplete information sets
  • Gain cased study skills
Assessment:

A 2-hour end-of-semester examination (50%) and written assignments totalling not more than 5000 words, with associated oral presentations (50%).
Prescribed Texts:

You will be advised of prescribed texts by your lecturer.
Breadth Options:

This subject potentially can be taken as a breadth subject component for the following courses:

You should visit learn more about breadth subjects and read the breadth requirements for your degree, and should discuss your choice with your student adviser, before deciding on your subjects.

Fees Information: Subject EFTSL, Level, Discipline & Census Date
Generic Skills:

  • High level of development: oral communication; written communication; problem solving; team work; application of theory to practice; interpretation and analysis; critical thinking; evaluation of data and other information; accessing data and other information from a range of sources.

  • Moderate level of development: collaborative learning; statistical reasoning; synthesis of data and other information; receptiveness to alternative ideas.

  • Some level of development: use of computer software.

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