Law 446 - Entrepreneurship & Venture Initiation

George J. Abe

George J. Abe

Lecturer in Law
B.A. Mathematics, UCLA, 1969
M.S. Business, Quantitative Methods, UCLA, 1971
Course Description:

This 3-unit course, taught by a professor from Anderson School of Management, focuses on important aspects of starting a new business enterprise with emphasis on the challenges faced by an entrepreneur (or group of entrepreneurs) in initiating and financing a business venture and directing its early development. The course objective is to familiarize students with tools required for entrepreneurship as (1) an entrepreneur, (2) an early stage investor or (3) service provider to entrepreneurs and early stage investors. Particular attention is paid to the process of forming a business venture, the identification and evaluation of new venture opportunities, the legal structure and organization of a new business, new venture financing, team building, sales and the development of an appropriate entry strategy. As part of the course, students will work in teams and create a business plan for a new venture and make a presentation for the team’s new venture.

It is highly recommended that students have previously taken two foundational courses for the Business Law Specialization, Law 234 (Accounting for Lawyers) and Law 358 (Financial Analysis), or have waived out of them. Assessment includes case assignments, mid-term exam, development of a business plan and presentation of the plan to a pair of outside investors.

Course Learning Outcomes:

The course objective is to familiarize students with basic tools required for entrepreneurship and investment in entrepreneurs.  Students will become familiar with terminology used by entrepreneurs, lawyers, advisers and investors when forming and financing a new company.   The new company can be a startup, a spinout from an existing company or the acquisition of an existing company (or its assets) or a social enterprise.  A sample of questions we address are:

•Where do ideas come from?   How do you know if you have a good one? 
•What are key risks and what should you do about them?
•What are common misconceptions entrepreneurs have?
•How do you raise money?   What is the fundraising process?  How do investors evaluate deals? 
•What does a Series A term sheet look like?   Convertible note?  What are key provisions of each?
•How should you think about the hiring process and compensation of Founders and early employees?
•How do you protect or acquire intellectual property? 
•When should the Founder step aside to make way for new management?
•Are entrepreneurs born or made?  Does it matter?
•What can you learn from history?
•Is learning entrepreneurship valuable even if you don’t plan to start a company?

This class is intended for students who want to pursue entrepreneurship or investment in entrepreneurs with relatively complex businesses.  That is, businesses that (1) involve fundraising, typically in multiple rounds, (2) involve intellectual property issues, (3) involve an international component or (4) involve a corporate entrepreneurship problem.   This course may also be valuable to potential investors.

Course Information:
​Faculty Term Course Section ​Schedule ​Units Requisite Satisfies SAW
George Abe 20F 446 LEC 1 TR 1:45 PM - 3:10 PM 3.0 No No
Textbook Information:
Textbook for Fall 2020 LEC 1
Blank, Andreesen and Hoffman. HBR's 10 Must Reads on Entrepreneurship and Startups    
ISBN: 9781633694385. Harvard Business Review Press. REQUIRED $24.95
Categories
Business & Tax Law;