Search results

Most entrepreneurs are continually concerned about their finances. Their companies perhaps not yet profitable, they may have a fear of “running out of dry powder.” These entrepreneurs often have fallen in love with their company's technologies, products, and potential markets, but they require more resources. Invariably these emerging ventures shroud their fear of the grueling capital raising marathon by presenting voluminous business plans to potential investors. They often flaunt their “optimized business models.”” Investors, however, typically want to know why the potential investment is such a good deal. The entrepreneur often wants guidance regarding what to say to whom in a changing financing environment.

In this article, our “Practitioner's Corner” associate editor Joe Levangie collaborates with a long-time colleague Paul Broude to address how businesses should “make their capital-raising initiatives happen.” Levangie, a venture advisor and entrepreneur, first worked with Broude, a business and securities attorney, in 1985 when they went to London to pursue financing for an American startup. They successfully survived all-night drafting sessions, late-night clubbing by the company founder, and even skeet shooting and barbequing at the investment banker's country house to achieve the first “Greenfield” flotation by an American company on the Unlisted Securities Market of the London Stock Exchange. To ascertain how the entrepreneur can determine what financing options exist in today's investing climate, read on.

Many entrepreneurs are enthralled with their company's technologies, products and potential markets. Invariably these emerging ventures present bedazzling business plans with industry-wise vernacular, detailed market research, and sophisticated financial spreadsheets. They often flaunt their “optimized business models.” Investors, however, typically want to know when and how the sales will start meeting the Plan. “Whereʼs the purchase order?” is the refrain. In this article, our “Practitionerʼs Corner” associate editor Joe Levangie collaborates with a long-time colleague, Deaver Brown, to address how businesses should “make sales happen.” Levangie warns that Brownʼs elitist education (Choate, Harvard College, Harvard Business School) should not be interpreted as a lack of “street smarts”; Brownʼs more entrepreneurially friendly credentials include winning Golden Gloves boxing medals and selling Fuller Brush products door-to-door! To ascertain how the entrepreneur can wrest an order from a prospective customer, read on.

Many entrepreneurs want to reach high to the heavens to achieve unlimited success. These hardworking, often underappreciated, venturers often crave fame and fortune as they strive to create their personal business legacy. One strategic path many have wandered down is that of the Initial Public Offering (IPO), whereby shares of the company are sold to the public. The IPO has many strong attractions. Large amounts of capital can be brought into the company.The company's stock can be used as currency to acquire other companies. Early investors realize a good ROI. Employees can perceive real value in their stock options. Customers, banks, vendors, and other stakeholders pay more respect to the company. Is this truly the entrepreneurʼs nirvana? Or is it a case of “Be careful of what you wish for because it may really come true?” Read on.

To reminisce about my entrepreneurial career with appropriate self-importance, I might note that I have helped create companies and jobs. This contributes in a small way to economic growth. Economic growth is, however, an often illusive concept to characterize. Job growth is an essential component of a dynamic, innovative process. In the late 1970s jobs growth research suggested that the vast majority of new jobs are created by small business formation. Such empirical research is difficult to support with theoretical constructs. Classic macroeconomics analysis discounts size-offirm as irrelevant. Entrepreneurial contribution is therefore difficult to assess.

Many entrepreneurs are able to manage their businesses within relatively contained and familiar geographical and cultural circles. With a world economy shrinking every day amid a flood of digital information, todayʼs entrepreneur is increasingly confronted with opportunities to consider new ways to secure vendors and recruit customers. Many unfamiliar possibilities emerge. Should the entrepreneur venture beyond “comfortable” surroundings to consider international connections? Specifically, what about China? How practical is this fetching business temptation of larger markets and lower-cost subcontractors? What are the social, trade, financial, and political issues? Should a “China strategy” be a true entrepreneurial offensive, or rather a defensive response to competition? Is this “China strategy” the promise of yet another entrepreneurial nirvana? Or is it perhaps again a case of “Be careful of what you wish for; it may really come true?”

Entrepreneurs tend to be self-styled “idea” people. They often believe they have the next “Big Concept”‐one which could change the world, reaffirm their self-worth, and, of course, make them and their venture team a fortune. In contrast, as they build a company to implement their business dream, entrepreneurs also tend to eschew or trivialize administrative details. Why should they waste their creative juices on minutia? As a result of this insensitivity to detail, these captains of capitalism often trip in their entrepreneurial journey. For example, they might:

1. •

   Forget to remit payroll taxes on schedule.

2. •

   Fail to document the justification underpinning the dismissal of a key employee.

3. •

   Allow the company℉s liability insurance to lapse.

4. •

   Neglect to report sales usage tax.

5. •

   Verbally grant employee incentive stock options during an informal luncheon meeting, at a yet-to-be-determined exercise price and without the board of directors℉ approval.

Forget to remit payroll taxes on schedule.

Fail to document the justification underpinning the dismissal of a key employee.

Allow the company℉s liability insurance to lapse.

Neglect to report sales usage tax.

Verbally grant employee incentive stock options during an informal luncheon meeting, at a yet-to-be-determined exercise price and without the board of directors℉ approval.

Some of the best entrepreneurs fail early and often. Less talented or less committed entrepreneurs do not even get a second chance. Failure and setbacks, however, can be instructive.What lessons can be learned from these experiences? How can the entrepreneur (and investors) navigate around the potholes on the New Venture Highway? Read on.

In 2023, the New England Journal of Entrepreneurship (NEJE) reached its 25th anniversary. To commemorate this major milestone as well as entrepreneurship’s growth as an academic field, the study employs bibliometric methods to provide key trends and research suggestions for entrepreneurship scholars using all original research published in the journal.

The authors perform two predominant bibliometric techniques, performance analysis and science mapping, using all 251 articles published by NEJE from 1998 to 2022.

The authors find that the impact of entrepreneurship research published at NEJE is growing consistently and that the challenge of the future will be to maintain this growth in tandem with greater publication productivity. The authors also find that although most contributions come from authors affiliated with institutions in the USA, there is a global representation from authors who have published in NEJE. Further, the authors found that the major entrepreneurship research themes of articles published in NEJE revolve around general entrepreneurship, entrepreneurial behavior, gender, technology, entrepreneurship education, innovation and value creation and sustainability.

The analysis is restricted to articles published in NEJE and therefore may not be representative of the entrepreneurship field. However, it can serve as a useful resource, particularly for prospective NEJE authors, to gain empirical insights about entrepreneurship research trends and rising topics of interest.

The authors’ work represents the first effort to synthesize research published in NEJE through bibliometric techniques and offers insights about important trends and themes in this rising outlet of the entrepreneurship field.

The argument that the board of directors can be a helpful tool for entrepreneurships and small businesses derives from the rationale for using boards from both a macro and a micro perspective.Society depends on boards to provide overall checks and balances in the running of businesses.This could not be more evident from the role of the board in Enron’s collapse (U.S. Senate 2002).

The boardʼs value to the entrepreneur is found in the application of the micro perspective.Two sets of recommendations are developed to formulate an improved model of directorship actions and behaviors. First, duties and responsibilities of the board of directors are expanded to help guide entrepreneurs.Second, five unique behavior patterns are then proposed that can be particularly helpful in carrying out the duties and activities of the board for guiding entrepreneurial success.