msc malaysia innotech johor - mavcap
TRANSCRIPT
- 1.
2.
- Family and friends
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- Funding to grow business sufficiently to outsiders
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- First step towards exposing business to investors
- Angel
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- Give money without expecting much returns
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- May invest in idea/ plan, but for smaller amount of money
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- Some are professional angels assist in developing business and access to further funding
- Venture capital
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- The real thing
3.
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- Equity investor (Cash for Shares)
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- Early-stage, high-potential, growth companiesin the interest ofgenerating a returnthrough an eventual realization event such as an IPO or trade sale of the company
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- Compliment bank lending/facilities to finance innovative (high-risk) SMEs at various stages of life cycle (seed to expansion/late)
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- Provide alternative source of financing especially for early stage SMEs in ICT sector, biotech, ..
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- Enhance bankability of SMEs,entrepreneurship, corporate governance, marketing, product development and technology enhancement.
4.
- New companies with limited operating history
- Too small to raise capital in the public markets
- Too immature to secure a bank loan or complete a debt offering.
- In exchange for thehigh riskthat venture capitalists assume by investing in smaller and less mature companies, venture capitalists usually get significant control over company decisions, in addition to a significant portion of the company's ownership (and consequently value).
5. Market Expansion Product Expansion Listing or Sale Commercialization TIME ConceptAlpha BetaEarly Adopter Seed Early Expansion Late FUNDING (RM)