Question 1
Access the “Entrepreneurship and the U.S. Economy” page of the Bureau of Labor Statistics website and complete this forecasting assignment according to the directions provided in the “Forecasting Case Study: New Business Planning” resource.
Use an Excel spreadsheet file for the calculations and explanations . Cells should contain the formulas (if a formula was used to calculate the entry in that cell). Use the Excel resource, “Forecasting Template,” to complete this assignment.
Prepare the assignment according to the guidelines found in the APA Style Guide,
This assignment uses a rubric Please review the rubric prior to beginning the assignment to become familiar with the expectations for successful .please make sure you answer all questions on the assignment.
Question 2
1. How are venture capital private equity structured? How are private equity firms compensated? Why may Khosla Ventures be motivated to push for Square to seek an exit?
2. What characteristics do the firms in case Exhibit 2 have in common? Do you agree with Marc Andressen’s thoughts regarding unicorn valuation levels? Why or why not?
3. What would the capitalization table look like after the series E issuance? What is the post-money valuation?
4. What returns would each class of investors realize if Square exited through an IPO rather than through a sale at valuations of $3 billion, $6 billion, or $9 billion? How would the returns change if the series E securities did not have the IPO ratchet?
5. Do you recommend investing in the series E preferred round?