Stages of Entrepreneurship

Dr. Milton Silver

Outline
Critical Stages of Entrepreneurship
Major Activities along the stages
Transition to next class
Basics: Five Best Ways to Get
Rich
Inheritance
Marry rich
Win a state lottery
Be a show-biz celebrity
Start a company
From Stolze, Start up
Major Stages of Entrepreneurship
Converging on the idea
Business Plan
Business Formation
Growth/ exit
Going public
A Framework to Think About
Ideas for Entrepreneurship
 Existing Modified
Products New Products
Products
Existing
Markets

Identifiable
Markets

New
Markets
 Existing Modified
Products Products New Products

Womens Alternative Solid state

Existing
Shampoo Greeting still camera
Markets
Cards
Clothes for Overnight Specialty
Identifiable
Markets professional package sports car
women delivery
Mobile pet Personal Laser discs
New
Markets grooming Computers
device
1. Converging on the idea
In many cases, the decision start a business
precedes the idea
Many ideas fall by the way side, since they are
either technically not feasible or financially not
viable or both
So you need to do enough research to converge
on the idea
Documentary

Experience
Ideas: Intellectual Property
The meaning of the term
Four forms of legal defense
Patent

Copyright

Trademark

Trade Secret

Confidentiality Agreements

In many cases, you will need legal help!

2.Business Plan Development
Four major elements:
New product/ service development
Business Model
Financial Model
Operating plan
3.Business Formation
Type of company: legal form, registration
Financing new product development:
Family and friends

SBIR grants

NCIA awards/ Ben Franklin grants

Angels

Frugal: This is the time for extreme frugality

Example BAIDA Entrepreneurs
To be announced

Incubator
SBDC
Colleges
4.Growth/exit
Difference between life style and growth
companies
Growth will require
infusion of capital through internally generated
funds
Sometimes employment of venture capitalists

Passive investors

Growth will also require organization, as taught in

business schools (Michael Dell story)
Exit
Various reasons
Story of Lands End
5. Going Public
Initial Public Offering

Probably the point in time the entrepreneur extracts

the value of his/her efforts
Major Stages of Entrepreneurship
Converging on the idea
Business Plan
Business Formation
Growth/ exit
Going public