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2024/2025  BA-BHAAV2262U  Entrepreneurial Finance

English Title
Entrepreneurial Finance

Course information

Language English
Course ECTS 7.5 ECTS
Type Elective
Level Bachelor
Duration One Quarter
Start time of the course Second Quarter
Timetable Course schedule will be posted at calendar.cbs.dk
Study board
Study Board for BSc in Economics and Business Administration
Course coordinator
  • Toke Reichstein - Department of Strategy and Innovation (SI)
Main academic disciplines
  • Entrepreneurship
  • Finance
Teaching methods
  • Face-to-face teaching
Last updated on 09-02-2024

Relevant links

Learning objectives
  • Assess financially an entrepreneurial venture
  • Estimate the value of a nascent firm/newly established firm
  • Understand the difference between the funder’s perspectives and those of the company being financed
  • Account for how various sources of financial resources differ (venture capital, business angle capital, private equity, early stage, crowdfunding and traditional financing sources)
  • Estimate the optimal timing in terms of obtaining funding and when to go public
  • Account for the conditions under which newly established firm are financed by a venture capitalists. Both from the funder and the receivers side of the market
  • Account for the elementary aspects pertaining to crowdfunding
  • Report on the various principle-agent aspect that are central to the fonder-funder relationship and how such associations tend to play out
  • Discuss how funders may assist founders in more ways than by providing capital injections and discuss how funders may have an impact on startup performance
Course prerequisites
The course is offered to bachelor students in the 5th semester as an elective regardless of study line. The course builds on the principles of finance, accounting and strategy. Students with insights in quantitative analysis may gain more from this course. BUt it is not a prerequisite to have had statistics/econometrics before.
Entrepreneurial Finance:
Exam ECTS 7,5
Examination form Written sit-in exam on CBS' computers
Individual or group exam Individual exam
The exam is a multiple choice. Students are given two hours to complete the multiple choice. It is based on regular multiple choice questions and multiple choice based on financial statements which students need to use for calculating values and measures. Students will be given exercises during the course, which will resemble that of the exam. Solutions to the exercises will also be circulated.
Assignment type Multiple choice
Duration 2 hours
Grading scale 7-point grading scale
Examiner(s) One internal examiner
Exam period Winter
Aids Limited aids, see the list below:
The student is allowed to bring
  • An approved calculator. Only the models HP10bll+ or Texas BA ll Plus are allowed (both models are non-programmable, financial calculators).
  • Language dictionaries in paper format
The student will have access to
  • Advanced IT application package
Make-up exam/re-exam
Same examination form as the ordinary exam
The number of registered candidates for the make-up examination/re-take examination may warrant that it most appropriately be held as an oral examination. The programme office will inform the students if the make-up examination/re-take examination instead is held as an oral examination including a second examiner or external examiner.
If the number of registered candidates for the make-up examination/re-take examination warrants that it may most appropriately be held as an oral examination, the programme office will inform the students that the make-up examination/re-take examination will be held as an oral examination instead.
Course content, structure and pedagogical approach

Course Description:
Entrepreneurship often involves a number of challenges characterized by risk and uncertainty, that need considerations pertaining to finance. These financial challenges especially represent a hurdle for entrepreneurs in high-tech settings. Securing funding and establishing the financial resources to undertake an entrepreneurial venture is more often than not one of the main activities to undertake when establishing a new firm. Startup investors are also in need of assessing and understanding the financial aspects of potential investment opportunities vis-à-vis nascent entrepreneurs or newly established firms. Furthermore, there are substantial managerial challenges pertaining to finance that need to be considered in entrepreneurial settings. Not least the choices among mulitple potenital partners mog investors and entrepreneurs. This course provides insight in these aspects of the entrepreneurial process.


Course Contents:

This course offers tools and insights that help entrepreneurs or their investors 
navigate through these challenges. Especially, the course will aim to provide 
answers to questions like; how much money is needed for establishing the 
business; what type of investor is optimal for the business; when should the 
money be raised; what is the value of the newly founded firm; how should 
entrepreneurs think about exiting; What are the benefits of having an investor associated; Why do some investors choose to syndicate.

Description of the teaching methods
Teaching methods:
The pedagogical method is a combination of lectures, cases, and exercises. A satisfactory high outcome of the exercises requires an active participation that is coupled with the studied literature. The exercises are an integrated part of the learning process. A large part of the course relies heavily on academic publications making use of quantitative investigations.
Feedback during the teaching period
Solutions to exercises are provided on canvas.
Student workload
Lectures and exercises: 166 hours
Exam: 40 hours
Further Information

Mixture of two and three hour lectures. Some of which will discuss solutions to exercises 

Expected literature

Leach, J. C., & Melicher, R. W. (2017). Entrepreneurial finance. 6th edition, Cengage Learning.


Last updated on 09-02-2024