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Entrepreneurial Financing

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Submitted By mehtaaagam
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Enterprenuerial finance

Introduction
Entrepreneurial finance is the study of value and resource allocation, applied to new ventures. It addresses key questions which challenge all entrepreneurs: how much money can and should be raised; when should it be raised and from whom; what is a reasonable valuation of the startup; and how should funding contracts and exit decisions be structured.

Why they needed enterprener finance????
Many entrepreneurs discover they need to attract money to fully commercialize their concepts. Thus they must find investors – such as their own employer, a bank, an angel investor, a venture capital fund, a public stock offering or some other source of financing. When dealing with most classic sources of founding, entrepreneurs face numerous challenges: scepticism towards the business and financial plans, requests for large equity stakes, tight control and managerial influence and limited understanding of the characteristic growth process that start-ups experience.

Snapdeal

It is never easy to start a business. You need to work on your ideas, find capital and investors and then you need to work hard to get results. Ask those who have succeeded, they tell you it is the best feeling ever when an idea takes off to places. Snapdeal set a niche for itself in the sphere of e-commerce in India. In 2010, when Kunal Bahl and Rohit Bansal wanted to start their own business, they chose an offline couponing business and named it MoneySaver. 15000 coupons were sold in three months and it was time to take the business to the next level.

It was after they met investor Vani Kola that the venture really took off. The first meeting did not go well but after another round of discussion, Vani Kola’s venture capital firm decided to invest in Snapdeal.Initially started as an offline business, Sneapdeal went online in 2010. It was a bumpy ride in the

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