Units

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Sample subject outline - 6 Week Teaching Period - 4 2013

Note: Subject outlines often change before the semester begins. Below is a sample outline.

Rationale

A key challenge for new ventures is in obtaining sufficient financing to resource the venture through the seed, start-up and growth stages of the venture life cycle. Understanding the resource requirements for the firm across these various stages and developing an appropriate funding strategy is critical. This requires a clear understanding of 'bootstrapping' strategies for early establishment and the range of debt/equity options that can underpin resourcing success. Thus, new venture managers must devise creative strategies to control needed resources, conserve cash balances, and attract new sources of capital such that their new venture can be launched and grow while avoiding new venture mortality.

This unit has been included in the MBA program to provide students with the opportunity to learn about the financing options open to new ventures, how to determine the best financing options for their venture and strategies for controlling and conserving cash to ensure the long term viability of the enterprise.

This unit has been positioned in the latter part of the program as investigating new venture funding requires students to have a broad multidisciplinary, 'big picture' view of businesses and how they operate. This unit builds upon the learning in GSN410 Entrepreneurship and complements the other units in the Entrepreneurial and Innovation elective pathway.

Aims

The mission of the MBA and associated programs is to provide world class, graduate business education and stimulating real world learning opportunities to develop current and future business leaders and managers to confidently lead in complex environments.

The aim of this unit is to equip students with a thorough knowledge of important issues surrounding the funding strategies available to entrepreneurial new ventures. The unit will have a particular focus on the debt and equity funding strategies appropriate to both the 'lean' and traditional start ups and will equip entrepreneurs with the knowledge and skills to successfully obtain funding for their new venture.

Objectives

Course Learning Goals (Postgraduate)

The QUT Business School has established the Assurance of Learning (AoL) Goals to meet contemporary industry needs and standards. Achieving these learning outcomes will assist you to meet the desired graduate outcomes set at QUT - aligned with other internationally renowned business schools.

Have knowledge and skills pertinent to a particular discipline (KS)

1.1 Well-researched knowledge and critical understanding applied to issues at the forefront of a specialised discipline area
1.2 Ability to select and use effectively a range of tools and technologies to locate and/or generate information appropriate to the disciplinary context

Be critical thinkers and effective problem solvers (CTA)

2.1 Apply logical, critical and creative thinking and judgement to generate appropriate solutions to problems in the disciplinary context

Be professional communicators in an intercultural context (PC)

3.1 Ability to create and present professional documents and/or reports using high levels of analysis/synthesis/evaluation for a range of contexts and audiences
3.2 Ability to orally communicate and justify ideas and information, at a professional level, for a variety of contexts and audiences, including peers and discipline specialists

Be able to work effectively in a Team Environment (TW)

4.1 Operate effectively and with flexibility to achieve common goals in collaborative settings, using a range of skills, including leadership, negotiation, reflection, proactivity and support for team members

Have a Social and Ethical Understanding (SEU)

5.1 Apply knowledge of the ethical, social and cultural dimensions relevant to business situations, including appropriate standards or codes of practice, to provide courses of action

The specific course learning goals that apply to this unit are shown in the assessment section of this unit outline.

Unit Objectives:

Upon completion of this unit, you should be able to:

1. Evaluate the types of funding options appropriate for entrepreneurial new ventures within Australian and international equity and debt markets. KS 1.1 (MBA 1, 7), CTA 2.1 (MBA 4, 5), PC 3.1 (MBA 3)
2. Analyse an entrepreneurial new venture and identify the funding requirements needed for the establishment, growth and sustainability of the venture. KS 1.1 (MBA 1, 7), CTA 2.1 (MBA 4)
3. Identify and analyse the applicability of the range of funding options appropriate for the new venture given defined exit and growth strategy for the firm. KS 1.1 (MBA 1)
4. Create and implement an appropriate funding strategy for new ventures. CTA 2.1 (MBA 4, 5), PC 3.1 (MBA 3)

The specific course learning goals and unit objectives that apply to this unit are shown in the assessment section of this unit outline.

Content

The content of this unit will include:

• Funding options from 'bootstrapping' through to formal venture capital markets.


• Requirements of financial and non-financial institutions for securing debt finding for new ventures.


• Cash flow forecasting and analysis for new ventures.


• Financing strategies for start-up, growth and exit.


• Examination of how a funding strategy can be formulated and implemented appropriate for entrepreneurial new ventures.


• Equity negotiation strategies.

Approaches to Teaching and Learning

This unit adopts a blended learning approach and as such, includes a variety of teaching and learning approaches.

Three hour face-to-face class sessions are supplemented by readings and a range of online materials that are designed to support and extend learning prior to, during and after class sessions. Online materials are available in the unit Blackboard site. Given the importance of the unit Blackboard site to the teaching and learning strategy used in this unit, a computer or tablet device with internet access is strongly recommended for all students.

The principal purpose of the lectures and readings is to build upon the key concepts that were introduced through the Preparation for Class activities and readings. The purpose of the case study work, experiential learning tasks and all assessment tasks is to help the student develop their understanding of the concepts and enable them to be applied within a range of business contexts.

There is an expectation that the student will participate in class sessions, to take advantage of the opportunity to discuss important issues with their instructor and their peers in an informal environment. These sessions also provide students with an opportunity to hone important generic skills that are in high demand in the business.

It is expected that students have completed all Preparation for Class activities and readings identified in the unit Blackboard site prior to coming to class to be able to maximise the learning opportunities of the class sessions.

A variety of learning activities designed to engage students in their learning will be incorporated into the lectures/workshops. Such learning activities may include short lectures, class discussions, debates, role plays, group work, guest speakers, student presentations, simulations, case study analysis, videos, readings, wikis, media/current events reports, web searches, etc.

There is a commitment to critical inquiry and intellectual debate in regard to the material covered. Students are encouraged to relate the theories and research discussed to situations known to them and will be encouraged to share their experiences relating to the topics explored in this unit with the class to enrich the overall learning experience of all students.

Expanding the awareness of Australian management policies and practices into intercultural and international perspectives is fostered within this unit. Typically, students enrolling in this unit have extremely varied backgrounds. There is diversity of professional background and socio-cultural background. Students are reminded that this is to their advantage and they have much to learn from one another. To this end, students are strongly encouraged to be sensitive to cultural, gender-related and international issues.

Assessment

Students will receive a variety of formative feedback throughout this unit.
Informally, feedback will be given verbally in class through class discussions and during the debriefing of learning activities.
Direct feedback will be available to those students who request a private or group consultation session with the lecturer.
Formal feedback will be received on both formative and summative assessment tasks through a Criterion Reference Assessment sheet which will also include written feedback on the assessment task. The Criterion Reference Assessment Sheet will be available in the GSN409 Blackboard site at the commencement of the unit. Students will receive feedback on their formative assessment task prior to their summative assessment task being submitted.

Assessment name: Cash Flow Model Report
Description: Students will be provided with a proposed new venture case study. Students are required to develop a cash flow model for the venture taking into account the stated establishment, growth and exit phases of the business and the underpinning resource requirements across these phases. Students are to take a hypothetical role as a consultant to the founder of a proposed new venture. You are to provide a detailed report to the Board of the venture providing your cash flow model and outlining the rationale for this model. This rationale is to include specific assumptions and justifications underpinning the model.
Length: 1500 Words
Formative or Summative: Formative and Summative
Relates to objectives: Unit objectives: 1, 2, 3 & 4 and AOL goals: KS 1.1, KS 1.2, CTA 2.1, PC 3.1
Weight: 40%
Internal or external: Internal
Group or individual: Individual
Due date: Week 4

Assessment name: Report
Description: Capital Raising Strategy Report
Building on the cash flow model developed in Assessment Task 1 (taking into account feedback from the Unit Coordinator and amending accordingly) you are required to develop an appropriate funding and capital raising strategy for the venture covering the establishment and growth states of the venture for the first 5 years of operation. This report must provide a sound rationale for this recommended strategy and provide justification of why this recommended strategy is the most appropriate for the venture You are to provide your report to the Board of the proposed new venture.
Length/Duration:2 500 words
Formative or Summative: Summative
Relates to objectives: Unit objectives: 1, 2 & 3 and AOL goals: KS 1.1, 1.2, CTA 2.1, PC 3.1
Weight: 60%
Internal or external: Internal
Group or individual: Individual
Due date: Week 7

Academic Honesty

QUT is committed to maintaining high academic standards to protect the value of its qualifications. To assist you in assuring the academic integrity of your assessment you are encouraged to make use of the support materials and services available to help you consider and check your assessment items. Important information about the university's approach to academic integrity of assessment is on your unit Blackboard site.

A breach of academic integrity is regarded as Student Misconduct and can lead to the imposition of penalties.

Resource materials

There is no required textbook for this unit as all necessary reference material is available in the Study Guide.

Other Resources:

Risk assessment statement

There are no out of the ordinary risks associated with this unit. You should, however, familiarise yourself with evacuation procedures operating in the buildings in which you attend classes and take the time to view the >Emergency video.

Disclaimer - Offer of some units is subject to viability, and information in these Unit Outlines is subject to change prior to commencement of semester.

Last modified: 19-Mar-2013