BUSINESS PLANNING &

ENTREPRENEURIAL
MANAGEMENT
Topic
VENTURE
DEVELOPMENT

ACKNOWLEDGEMENT
We are thankful to our BUSINESS
PLANNING & ENTREPRENEURIAL
MANAGEMENT teacher Mrs.NEHA
MEHTA who gave us this opportunity
to enhance our bookish knowledge and
form practicality we study and give us
this opportunity to enhance leadership
and team group performance. We would
also like to thank you for your support
and guidance through the presentation.
Thank you!

INTRODUCTION OF VENTURE
DEVELOPMENT
Start-up entity developed with the intent of profiting
financially. A business venture may also be considered
a small business. Many ventures will be invested in by
one or more individuals or groups with the
expectation of the business bringing in a financial
gain for all backers. Most business ventures are
created based on demand of the market or a lack of
supply in the market. Needs of consumers are
identified for a product or a service and the
entrepreneur and investors will proceed to develop the
idea, market the idea, and sell the product or service
developed.

MEANING OF VENTURE
DEVELOPMENT
Venture development describes
economic development activity that is focused
on using best-practices and activities of
experienced business mentoring and pre-angel
and venture capital investing in order to help
create venture and angel-capital-ready firms
which have the promise to create significant
economic wealth for a region, state or country
including entrepreneurial wealth and jobs.

PLANNING AS PART OF
VENTURE DEVELOPMENT

Planning is a process than never ends for a business.

As the venture grow up to mature business, planning
will continue
A business plan is a written document prepared by the
entrepreneur that describes all the relevant internal
and external elements and strategies for starting a new
venture.
It is a integration of functional plans such as marketing,
finance, manufacturing, sales and human resources.

WHY HAVE A BUSINESS PLAN

FOR VENTURE DEVELOPMENT?

The business plan is valuable to the entrepreneur,

potential investors, or even new personnel, who are
trying to familiarize themselves with the venture, it
goals, and objectives.
It

helps determine the viability of the

venture in a designated market.
It provides guidance to the entrepreneur in
organizing his or her planning activities.
It serves as an important tool in helping to
obtain financing.

STAGES FOR VENTURE

DEVELOPMENT
Seed Stage
- Defining the concept of the business
- Gathering initial financial resources (friends and family)
- Building the prototype
Start-up Stage
- Assembling the start-up team
- Analyzing the competition, identifying customers and Getting
your first customer
- Going beyond the prototype to a truly scalable product
Early Stage
- Increasing the number of customers
- Raising institutional money
- Recruiting a complete management team and implementing
the business

Growth Stage
- Focusing products on the mass market
- Expanding sales and marketing. Rapid revenue
growth
- Reporting relationships and authorities
- Developing systems of internal control (sales,
finance, development, support, etc)
IPO/Exit
- Formalizing the culture and rationalizing the
strategy
- Going public or merger/acquisition

VENTURE FUNDING

Funds
Fund employed in any business activity.
Most important factor for production.
No economic entity can function without capital.
Venture Funding
Venture Funding is significant innovation of 20th
century. It is generally consider as synonym of risky
capital.
Venture funding is a new financial service, the
emergence of which wants towards developing
strategies to help a new class of new entrepreneurs to
translate their business ideas into realities.

STAGES OF SME FINANCING

Stage of Self-financing

Stage of Debt Financing

Stage of Lease Financing

Stage leading to emergence of Equity Financing

Stage of Venture Capital Financing

ADVANTAGES OF VENTURE
FUNDING

Economy
Oriented

Investor
Oriented

Entrepreneur
Oriented

WHY SOME
VENTURE DEVELOPMENT FAILS?

Goals set by the entrepreneur are unreasonable.

Goals are not measurable

The entrepreneur has not made a total commitment to the

business or to the family.

The entrepreneur has no experience in the planned business.

The entrepreneur has no sense of potential threats or

weaknesses to the business.

No customer need was established for the proposed product

or service.

EXAMPLE OF VENTURE
DEVELOPMENT
Jump start inc. is a non-profit venture development
organisation in northeast Ohio that has exemplified the
venture development model since its inception in 2004.
Jump start a non- profit organisation is focused on
promoting entrepreneurship by investing in high-growth
potential and assisting them to propel the business to the
next level
Jump starts charitable gifts from funding partners are all
focused on economic development returns or regional wealth
creation, while venture capital firms have limited partners.

When a venture development such as a jumpstart, 100

percent of its return on investment is placed back to the
fund