Skip to Content
Entrepreneurial Finance, Fourth Edition: Finance and Business Strategies for the Serious Entrepreneur, 4th Edition
book

Entrepreneurial Finance, Fourth Edition: Finance and Business Strategies for the Serious Entrepreneur, 4th Edition

by Steven Rogers
May 2020
Beginner
416 pages
9h 6m
English
McGraw-Hill
Content preview from Entrepreneurial Finance, Fourth Edition: Finance and Business Strategies for the Serious Entrepreneur, 4th Edition

9

Equity Financing

Introduction

Equity capital is money provided in exchange for ownership in the company. The equity investor receives a percentage of ownership that ideally appreciates in value as the company grows. The investor may also receive a portion of the company’s annual profits, called dividends, based on his ownership percentage. For example, a 10% dividend yield or payout on a company’s stock worth $200 per share means an annual dividend of $20. The typical equity investor wants the following minimum returns.

Images

Thus, the investor expects a minimum return of 5 times his money in 5 years, which results in a cash on cash return of 5X, ...

Become an O’Reilly member and get unlimited access to this title plus top books and audiobooks from O’Reilly and nearly 200 top publishers, thousands of courses curated by job role, 150+ live events each month,
and much more.

Read now

Unlock full access

More than 5,000 organizations count on O’Reilly

AirBnbBlueOriginElectronic ArtsHomeDepotNasdaqRakutenTata Consultancy Services

QuotationMarkO’Reilly covers everything we've got, with content to help us build a world-class technology community, upgrade the capabilities and competencies of our teams, and improve overall team performance as well as their engagement.
Julian F.
Head of Cybersecurity
QuotationMarkI wanted to learn C and C++, but it didn't click for me until I picked up an O'Reilly book. When I went on the O’Reilly platform, I was astonished to find all the books there, plus live events and sandboxes so you could play around with the technology.
Addison B.
Field Engineer
QuotationMarkI’ve been on the O’Reilly platform for more than eight years. I use a couple of learning platforms, but I'm on O'Reilly more than anybody else. When you're there, you start learning. I'm never disappointed.
Amir M.
Data Platform Tech Lead
QuotationMarkI'm always learning. So when I got on to O'Reilly, I was like a kid in a candy store. There are playlists. There are answers. There's on-demand training. It's worth its weight in gold, in terms of what it allows me to do.
Mark W.
Embedded Software Engineer

You might also like

Entrepreneurial Finance, Third Edition: Finance and Business Strategies for the Serious Entrepreneur, 3rd Edition

Entrepreneurial Finance, Third Edition: Finance and Business Strategies for the Serious Entrepreneur, 3rd Edition

Steven Rogers, Roza Makonnen
Corporate Finance, 5th Edition

Corporate Finance, 5th Edition

Pierre Vernimmen, Pascal Quiry, Maurizio Dallocchio, Yann Le Fur, Antonio Salvi

Publisher Resources

ISBN: 9781260461459