Udemy
    •  
    •  
    •  
    •  
    •  
    •  
    •  
    •  
Subscribe
Turn what you know into an opportunity and reach millions around the world.
Learn More
Your cart is empty.
Keep shopping
Ultimate Venture Capital: How to model investment rounds
Rating: 4.2 out of 5(1,073 ratings)
6,563 students

Ultimate Venture Capital: How to model investment rounds

The #1 course that will help you land a job in VC, be a better startup founder, angel investor and financial analyst.
Created byKiley Grant
Last updated 11/2019
English

What you'll learn

  • Build a Cap Table and Waterfall Analysis from scratch
  • Learn the actual numbers behind investment terms
  • Know the direct impact on ownership percentages of every major term sheet provision
  • Build Private Equity and Venture Capital Investment Models From Scratch
  • Have solid PE/VC acumen
  • Pass private equity Interviews
  • Pass venture capital interviews
  • Understand how valuation impacts ownership
  • Calculate potential payout after multiple investment rounds
  • Learn about different types of investment structures
  • Learn how to structure and modify a cap table
  • Learn how to calculate proceeds from the sale of a business.

Course content

3 sections • 50 lectures • 4h 22m total length

  • Basic Share Distribution3:12

    This is the first video in the series and where we begin to make the cap (aka capitalization) table. A cap table is where companies keep track of their ownership and who owns what. Setting up a cap table properly allows the finance team to forecast how much dilution the current owners will take when future capital is raised. The template I set up in this course is a commonly used way to build a cap table and essential if you are a startup founder, investor PE/VC analyst or just interested in finance.

  • Structure and Share Price Calcs10:29

    In this video we begin to format the cap table properly and I show you how I generally format the excel file so that is easy to follow and expand upon. I show you how I label each column and general terminology associated with cap tables and round modelling.

  • Adding in the Option Pool2:59

    We are going to add the option pool into the cap table in this video. This is often done incorrectly and in doing so can make the share price incorrect or just break the model. Fully diluted ownership is what comes into play here when adding the option pool shares into the mix.


  • Valuation Checks0:48

    This video is just a quick run through of the formulas and formatting created in the previous three videos to make sure everything is working correctly.

  • What if There is a Convertible Note?3:46
  • Formula Review0:49
  • Methods of Convertible Note Conversion10:02
  • Methods of Convertible Note Conversion pt. 24:54
  • Observations on Conversion Methods0:48
  • Valuation Cap Calculations4:45
  • Adding Logic to the Cap Table7:56
  • Adding Logic to the Cap Table pt. 28:03
  • Calculation Check2:03
  • Formula Review1:10
  • Eccentricities of Convertible Notes7:22
  • How to Add a Series A3:53
  • Series A Share Price6:15
  • Fully Diluted Percentages2:30
  • How to Manipulate Hard Coded Cells2:02
  • Pre-Money and Post-Money1:09
  • How to Add a Series B6:48
  • Refining Option Pool Calcs1:45
  • Fixing Errors1:03
  • Fixing Erros pt. 22:44
  • What if Investors Follow On?2:34
  • Alternate Way to Calculate Convertible Note3:13
  • Formula Review1:14
  • Cap Table Section Outro0:53

Requirements

  • You should be able to use Excel at a beginner to moderate level
  • Know some basic investment terminology

Description

What I have learned over the years is that most people, from startup founders to investors don't understand the cap table, and consequently their ownership, on a deep level.

Most founders lack the knowledge to model out future rounds and don't grasp key economic terms when negotiating their term sheet. This course will change that.

Most investors don't know how the waterfall will work in a liquidity event and what the liquidation preference really means to their overall return.

So, I created this course to teach the breadth of professionals involved in early stage capital how this all really works. It is exhaustive and touches on every key point I know that is economic to a deal. Learning how to plan and understand the ownership of your company is critical to keeping motivation and maximizing returns.

The course is taught through excel. It is hands on, get dirty, struggle to understand until the lightbulb goes off and you get it right. I teach it the exact way that i learn, which is by doing. It is step by step with commentary on the specifics.

What it is not, however, is a course in excel. While their are not overly complicated functions involved, you should have a base knowledge or you will get frustrated.

The value of this course is what it will save you in attorney's fees, equity, and potentially greater returns on your investments.You can learn how to project and manage your growth and join a community of people going through the same struggles.

Who this course is for:

  • Angel Investors, Startup Founders, Analysts, CFOs and Business Owners

Report abuse