Prototyping Growth in Technology Ventures: A Practical Approach


Journal of Corporate Accounting and Finance

novembre-décembre 2016, vol. 28, n°1, pp.50-56

Départements : Finance

A prototype is a plausible growth model that can be parameterized precisely in terms of time and money. Prototypes can be used to determine how much money is needed to fund a start‐up, how much the venture will be worth at exit time, and in which way its ownership should be split between entrepreneur and investor. This article explains how prototypes are constructed and illustrates how they are used in the financing planning of technology ventures