Page 35 - THE CARIBBEAN ADVANCED PROFICIENCY EXAMINATIONS

UNIT 2
MODULE 3: MANAGING AND GROWING THE VENTURE (cont’d)

CONTENT

1. Venture Life Cycle

Stages of the venture life cycle:

(a) new venture development;

(b) start-up activities;

(c) venture growth;

(d) business stabilization; and,

(e) innovation or decline.

2. Venture Models

Knowledge of how a venture can grow from one model to another over time:

(a) promising start-ups;

(b) venture-backed start-ups; and,

(c) corporate-supported start-ups.

3. Importance of Venture Valuation

(a) Know the real value of venture (to track increase or decrease in business value).

(b) Buying or selling a business/ major asset.

(c) Raising growth capital (IPO, sale of stocks).

(d) Establishing an employee stock option (ESOP) plan.

(e) Tax management (obligations).

(f) Structuring a buy, sell or joint venture agreement with stockholders (example,
mergers and acquisitions).

(g) Attempting to buy-out a partner or shareholder.

CXC A31/U2/13 30 www.cxc.org