Table of contents for Venture capital funding : a practical guide to raising finance / Stephen Bloomfield.

Bibliographic record and links to related information available from the Library of Congress catalog

Information from electronic data provided by the publisher. May be incomplete or contain other coding.



Preface to the second edition

Introduction: some objectives and definitions

1 Background issues

The funding gap – myth or reality?; Mathematics; Market; Management; Mission impossible

2 The future revisited I: developments in legal matters

Legal documentation; Business angels; The professionals’ cut; Conclusion

3 The future revisited II: developments in regional funding

New sources of proposals; The structural side

4 The future revisited III: the view from the City

5 Why do you want funding?

Defining what venture capital is – and is not; The basic question; The four main purposes; Start-up; Business development; Shareholder change; Rescue

6 Know your enemy: the venture capitalists considered

The myth of patient money; Pressures on the venture capitalist; Factors and issues affecting venture capital fund policies; Fund size and structure; Size of funds; Life cycle; Horses for courses; From the fund to the individual – background and experience; Fund remuneration

7 The mechanics of doing the deal

Stages of the process; The business plan; Attracting a funder; Employing professional advisers; Selecting a potential investor; Deal negotiation and initial valuation; The preliminary offer; Fees; ‘Due diligence’

8 Seeing the finishing line

Stars and bars; The major routes out; The P/E trap; Reasons to be helpful, part 1; Reasons to be helpful, part 2; The dark side

9 Dealing with the existing shareholders (and stakeholders)

The effects of change; The best structure; Shareholders; Other stakeholders

10 Building – and displaying – the management team

Four elements of a management team; Dropping directors; Succession

11 The key issues of discovery: the ‘due diligence’ process

‘House style’; The due diligence process; Investment fees; Stage 1: desk review; Stage 2: management called in to discuss the proposal; Stage 3: company visits; Stage 4: market review; Stage 5: customer review and supplier review; Stage 6: financial and credit review; Stage 7: accountants’ investigation; The investment committee

12 The choice of investment vehicle: existing business or newco?

Type of investment; Realization considerations; Trading record; Complexity; Tax; The structure of the deal and the return to the investor

13 Legal stages: where the going gets tough

The process step by step; The process; Major features and documents; What the term sheet contains; The disclosure letter; Other points; Formal legal documentation

14 Post-investment considerations: culture shock

The failure of mutual comprehension; Costs; Additional scrutiny – and the consequences; Requisite skills; Board atmosphere; Increased formality; The false hope of synergy; Outside involvement; Personnel change; Tactical actions of the investor; Further funding; The problems with angels; Non-problems

15 Realization of the investment

Flotation – IPOs; Trade sales; The dark side: corporate collapse

16 Summary: do you still want venture capital?

In defence of other funding; In defence of VCs; The point of departure; General conclusion

Appendix 1 Glossary of terms

Appendix 2 Useful addresses


Library of Congress subject headings for this publication:
Venture capital.
New business enterprises -- Finance.