History of Entrepreneurship .. lets see wats on Wiki

The understanding of entrepreneurship owes much to the work of economist Joseph Schumpeter and the Austrian economists such as Ludwig von Mises and Friedrich von Hayek. In Schumpeter (1950), an entrepreneur is a person who is willing and able to convert a new idea or invention into a successful innovation. Entrepreneurship forces "creative destruction" across markets and industries, simultaneously creating new products and business models. In this way, creative destruction is largely responsible for the dynamism of industries and long-run economic growth. Despite Schumpeter's early 20th-century contributions, the traditional microeconomic theory of economics has had little room for entrepreneurs in its theoretical frameworks (instead assuming that resources would find each other through a price system).[2]
Conceptual and theoretic developments in entrepreneurship history. Adapted from Murphy, Liao, & Welsch (2006)
Some notable persons and their works in entrepreneurship history.

For Frank H. Knight (1967) and Peter Drucker (1970) entrepreneurship is about taking risk. The behavior of the entrepreneur reflects a kind of person willing to put his or her career and financial security on the line and take risks in the name of an idea, spending much time as well as capital on an uncertain venture. Knight classified three types of uncertainty.

* Risk, which is measurable statistically (such as the probability of drawing a red colour ball from a jar containing 5 red balls and 5 white balls).
* Ambiguity, which is hard to measure statistically (such as the probability of drawing a red ball from a jar containing 5 red balls but with an unknown number of white balls).
* True Uncertainty or Knightian Uncertainty, which is impossible to estimate or predict statistically (such as the probability of drawing a red ball from a jar whose number of red balls is unknown as well as the number of other coloured balls).

The acts of entrepreneurship is often associated with true uncertainty, particularly when it involves bringing something really novel to the world, whose market never exists. Before the Internet, nobody knew the market for Internet related businesses such as Amazon, Google, YouTube, Yahoo etc. Only after the Internet emerged did people begin to see opportunities and market in that technology. However, even if a market already exists, such as the market for cola drinks (which has been created by Coca Cola), there is no guarantee that a market exists for a particular new player in the cola category. The question is: whether a market exists and if it exists for you.

The place of the disharmony-creating and idiosyncratic entrepreneur in traditional economic theory (which describes many efficiency-based ratios assuming uniform outputs) presents theoretic quandaries. William Baumol has added greatly to this area of economic theory and was recently honored for it at the 2006 annual meeting of the American Economic Association.[2]

Entrepreneurship is widely regarded as an integral player in the business culture of American life, and particularly as an engine for job creation and economic growth. Robert Sobel published The Entrepreneurs: Explorations Within the American Business Tradition in 1974. Zoltan Acs and David B. Audrestch have produced an edited volume surveying Entrepreneurship as an academic field of research in the Handbook of Entrepreneurship Research: An Interdisciplinary Survey and Introduction.

Results for second round

The following teams have qualified for the final round of i2i 09:

North Zone:

Team Checkmate

Empezar Labs

Parichay

East Zone:

HelloDoctor 24x7

vNote

PeerBand

West Zone:

CarboFibre

Arth

CDS-Saakshar

South Zone:

Tecovate

V care

Aksharit

Copngratulations!!! please get in touch with your buddies asap.

Structure of a business plan

A little late for the day, but well... its a good article and may help the teams to polish the plans...

What goes into your business plan is very important. Here is a brief overview of the way a typical business plan would be organized. This is a professional document, and should have a balance between detail and clarity.   Remember, this plan is for your use, but will also be shown to banks and investors when you apply for funding or a loan.

		Cover Sheet - Basic business info here - be sure to include contact people and phone numbers.
		Table of Contents - This index can move readers in the right direction. Make sure that it is presented clearly.
		Executive Summary - Because this if often the first part that is read, it must make a statement in a hurry. The entire business plan is reduced to a few paragraphs. Be sure to focus on: selling advantage, future projections, business cash requirements, payback time table, and business mission.
		Business Context - Provide information that will give the reader an understanding of the larger market that you are in. Talk about growth potential, new products, and economic trends.
		Business Profile - Explain in detail about your business, trends, organizational structure, influential factors in the market, patterns of research and development, contracts, and operational procedures.
		Marketing Analysis - State who your customers are, your geographical range, growth potential, and customer satisfaction / customer service procedures.
		Challenges and Responses - You need to show that you have thought out what could happen with your market and how your business will respond. Focus on dealing with the competition, your weaknesses and corrections, legal issues, and staffing issues.
		Marketing Plan - This is probably the most important part of the plan. You need to have the following: a marketing strategy, pricing scheme, timetable for growth and development, marketing budget, guarantee policies, packaging and presentation, plan to test the effectiveness of your marketing, and knowledge of what certain media marketing costs.
		Financials - Yuck! Entrepreneurs tend to hate this section most. Bankers tend to look at it first. Spend some time here. You need a Profit and Loss Statement, Balance Sheet, and Cash Flow Statements (for next three years). If you don't know what these are, talk with your accountant and learn how to read these reports. Banks often look only at this section. Make your banker happy!
		Time Table - This part talks about when you need the financing to come into the plan, lists parts of the marketing campaign (including dates), and gives the scheduled dates of production (when you actually will deliver the goods/services).
		Summary of Needed Capital - Sum up why you want their money. Banks will usually loan money for equipment and raw materials or inventory (things they can sell off if you default).  Do not ask a bank for only "Operating Capital".
		Appendix - You could include footnotes, supporting documents, reports, biographies, graphs, copies of contracts, glossary of terms, and references. ref: http://www.womanowned.com/Growing/BusinessPlan/PlanParts.aspx

Start a Green Business

Make money and be earth-friendly with a green products business.
By Amanda C. Kooser

Even Wal-Mart sells organic cotton T-shirts these days, but you definitely don't have to be a retailing behemoth to take your business in a green or organic direction. In fact, entrepreneurs have an advantage when it comes to reaching customers who care about the cause as well as the products.

"It's a highly underrated opportunity for small business," says Dr. Karel J. Samsom, a specialist in environmental and sustainable entrepreneurship and author of Spirit of Entrepreneurship. A study by the Organic Trade Association shows that nonfood organic product sales reached $744 million in U.S. consumer sales in 2005, with supplements, personal care and household products leading the charge. For green entrepreneurs, passion is key, says Samsom: "People who are imbued with this kind of spirit have an incredible imagination to rebuild the value chain and inspire their customers in the process."

That passion is evident when talking to Jonelle Raffino, 41, of South West Trading Co. Inc., a Tempe, Arizona, business that specializes in earth-friendly, alternative fibers and textiles such as yarns made from bamboo, corn and even recycled crab shells. "This country is seeing that we need to challenge the idea of products that use fossil fuels," says Raffino, who co-founded the company in 2001 with her mother, Jonette Beck. Business is booming so much, they've expanded into ready-to-wear items, and they can barely keep up with demand for their line of plush Soy-Silk Pals toys.

Getting Started
If you dream of starting your own green products business, consider the following tips:

• Seek your niche. There are enough areas of open opportunity in green products that, chances are, you can find one that both fits your skills and a needed niche. "Find a way to express your own passion to others," says Dr. Samsom. Areas like cleaning supplies and cosmetics are natural fits for green products, but don't be afraid to look past the obvious.
• Be an example. "Show you believe in your product by changing other aspects of your life and business to support your own commitment to the earth-friendly lifestyle," says Raffino. This can include making green decisions when it comes to your suppliers and even your personal life. Make a point to recycle and check into using solar or wind power for your business. A green attitude overall will reflect well on your business.
• Educate. Green products customers are just as hungry for knowledge as they are for organic foods. "Understand the significance of your product and how it benefits the earth or conserves resources, know everything about it," says Raffino. If you've done your research, you can more effectively communicate the value of your product to your customers.
• Your customers are your best marketers. Green products is an area that can be heavily driven by word-of-mouth and by happy customers passing on their experiences to other people. "Get your customers to be your best promoters," says Samsom.
• Find colleagues who are on the same page. When it comes to employees, management staff and investors, you need to find people who share your passion. Colleagues that share your cause will be more invested in helping your business to blossom. It's not just about making money, it's also about making a difference in the world around you, one green product at a time.

Why you should not be an Entrepreneur [And why I am still an Entrepreneur!]

[Nikhil V, Founder of letshead.to shares few hard reality of being an entrepreneur - and yet, why he is still one! Being a college grad to launching a magazine to going bankrupt and bouncing back - do read his story!]

Everyone talks about how ‘cool’ and glamorous Entrepreneurship is. Its almost become like a fluffy parallel universe whose inhabitants have 5 arms, 4 legs and 3 eyes.

Since everyone is so seduced by entrepreneurship, let me take this opportunity to tell you why you should NOT be an entrepreneur.

Entrepreneurship is for fools

Its for people who believe so blindly in something, that nothing will stop them from achieving it. They could go mad, lose their marriages, break relations with family, give up their education - nothing will stop them.

An entrepreneur is someone who lives by the words ‘No Matter What’.

Isn’t it easier to be a sleaze? To give that hidden middle finger to your boss when he asks you to do something? To know fully well that your boss will get fired by his higher up if you are not productive? That its totally OK to not finish something? That you always have other options? That there is always an easier way out?

Entrepreneurship is for people who want to carry the weight of the world on their shoulders

Its for people who want to solve the world’s problems. Its for people who think it is upon them to be ‘The One’. People who are actually delusional enough to think that they are like Neo from the Matrix? That if they stop doing what they are doing, the world will crumble and lives will be lost.

Isn’t it easier for someone else to do the worrying? To chill out, relax and laugh at people stressing out? To know fully well that someone else will clean up your mess? That you left the world exactly the way it was, and did nothing to change it? Do you really want to be responsible for people’s salaries, happiness, and putting their children in a good school?

Entrepreneurship is for Visionaries

Its for people who don’t live in the present - people who think they can alter the course of destiny for the planet. People who always think there is a better way of doing something. People who can see the future, and stake their lives to make it a reality.

Isn’t it easier to just do what is told to you? To just finish the day’s tasks and forget about work till the next morning? To use the current solution, however inefficient it is? To only think about getting married, having kids and settling in life? To leave predicting the future to a palmist or an astrologer? After all Astrologers and Palmists have an easier job, they just predict the future and leave it - these mad entrepreneurs will actually go and make it happen.

Entrepreneurs are Fighters

Its for mad guys who like to fight till their last breath. For people who will keep on breaking - barriers, ceilings, impossibilities, resistance, competitors or whatever is thrown in the way. For people who will keep on punching till the opponent begs for mercy, no matter how much they themselves bleed. For those who just cant stay away from a challenge.

Why do you wanna get hurt? Why do you wanna break barriers? Isn’t it easier to just let people be, and barriers stop you? If something is impossible, why challenge it? Who gives a damn about competition anyway - its your boss’s problem!

Entrepreneurs make pots of Money

Its for those who want to create huge amounts of wealth. Enough for them to make a pile and swim in it. To be able to blow it up buying fancy cars and huge mansions. More importantly, its for those who want to create pots of wealth for those who work with them - to see their employees buy all these fancy things. Most importantly, To create funds, and give back to society and the economy.

Who cares about giving back to society? Why be so altruistic? Isn’t it enough to just find a better paying job, save properly and make sure your children study in good schools? Why bother about your colleagues?

Entrepreneurs change lives

Its for those who change the lives of people around them, and in the entire process have their own lives changed. For those whose lives are not the same once they embark on the journey. For those who grow into Superman, Batman, Shaktimaan and Hanuman all in one. Those who seek to attain mastery over their art because they have no choice but to be the best at it for their startups. For those who know that their team’s lives will not be the same once they are done with the startup.

Why do you want to be Shaktimaan? Why do you want to attain mastery over anything, when one can just Ctrl-C and Ctrl-V? Why do you want your life to change, when everything is so nice and normal?

Entrepreneurs are Survivors

Its for those who can be thrown into an island full of monkeys, devoid of human beings, and they will still manage to build a roaring business by finding a neighboring island with humans and export coconuts to them while having taught the monkeys the basics of economics, and living a luxurious life. For those mad guys who can survive a nuclear holocaust. For those who can turn the proverbial eskimo into a Ice cube franchisee. For those who can not only survive, but make the most of it.

Why look for opportunity when all you need is to survive? If there is a nuclear holocaust, then why not just accept it, and die the way god intends you to? Why struggle to breathe, when you can just slip into a peaceful happy sedated coma?

Ladies and Gentlemen. Entrepreneurship does all of this to you.

I was a confused 20 yr old who hated college. I was insecure about who I was, scared that I was wandering about aimlessly and had zero self confidence.

Then - I started a magazine! An industry that has a 90% plus failure rate - that too for a kid with no background in publishing, writing and no money! Sure, I could have started something a little more achievable, but being young and reckless comes with its madness.

So I started ‘Strange Brew’ - a 28-48 page full color magazine which ran for 6 issues and was a big hit with the readers but a mega flop with advertisers. And knowing nothing about funding, VCs and financing did not help at all! So the print magazine crashed, I burned with a massive debt, abused by the 20 odd ppl working with me, dumped by my girlfriend, almost got thrown out of home a million times and other unspeakables.

Today Strange Brew is relaunching as an online magazine having paid off all our debts, and is doing thriving business as a media company making videos for global companies, NGOs and other prominent clients. Its running itself with an awesome team, and I dont even need to be around for it to grow.

I started a company called Strange Labs and we run www.letshead.to which is a web concept that partners with Restaurants, Nightclubs, Cafes etc and we have a totally new way for them to get customers and do sales. I work with a team of 7 Superstars, and we will stop at nothing to grow it into a gazillion dollar venture. And my life absolutely rocks!

Entrepreneurship changed my life, and gave me much much more than I bargained for.

Are you up for it?

Something nice

Though many would have seen it before, as have I....

but it just seems so good everytime I watch it... this adds words to the "crazy one" in each entrepreneur... a salute to the spirit and the will of the entrepreneur:

What our Investment partner says about a VC pitch

Have a look at this , posted by Alok Mittal on one of his blogs

Canaan Entrepreneur Pitchbook

View SlideShare presentation or Upload your own. (tags: invest raise)

How to write a Business Plan

The answer to this ...

We try and assist you , please feel free to browse through the blog of Apoorva Kumar , one of the members of Entrepreneurship cell at IIMC .

http://ir0cker.blogspot.com/2008/07/how-to-make-business-plan.html

Regards
E cell, IIM Calcutta

i2I'08 winner Jaya Jha writes - Rambling of an Entrepreneur

Why do I write about entrepreneurship?
I am a first time entrepreneur. I have just started off. I am not a success story yet. Does it make sense for me to write about Entrepreneurship? Why do I even attempt to write? Who is going to benefit from my writings? Wouldn’t they be better off reading some successful entrepreneurs instead?

There is a reason I write. Success is not what drives people away from entrepreneurship, right? It is the fear of failure at the end. And this potential failure creates an uncertainty while you are an entrepreneur - not yet a success, not yet a failure. That uncertainty is the killing factor. So, my hope is that it would be relief for people to know that it is not too bad. The uncertainties, the fear of failure are all there. The fact is that you may fail with a high probability (give the statistics of start-up successes). Despite all of this, it is a fabulous experience to be an entrepreneur. If it came from a successful entrepreneur, after he/she has been a success, it may not sound that convincing. Past always looks sweet, especially if it has led to good things. But coming from a first time entrepreneur herself going through those uncertainties, I think it is a bit more convincing. That’s why I write.

Being an Entrepreneur - Leaving the luxuries
Here is what I had written in my blog after I had taken a trip to Delhi for my start-up work.
Gurgaon-Delhi metro is badly wanted. It is not funny that the only thing people rely on for the commute between Delhi and Gurgaon are Call Center Cabs. Uniform fare of Rs. 10, doesn’t matter where you are going - so long as it is on their route. Now, they aren’t supposed to be doing that. But there is a reason black-markets exist. It’s not always about lower prices. It’s about the availability itself - at any reasonable price.
Silly! It’s not the first time I have been to Delhi/Gurgaon and shuttled between them. But this time I was not on with corporate luxury. Travelling from Google meant this - get out of the airport, get into an air conditioned car. Get into an air conditioned, five-star hotel. If you have to go somewhere, there is the same air conditioned car at your disposal. Almost any places visited were air conditioned too. So, it was not unusual for me to not even realize what the weather was like in the city I travelled to. Now, obviously, many aspiring entrepreneurs would be curious to know as to how it felt to do without the luxuries. I won’t be a hypocrite and say it was all fun. No, it wasn’t all fun. Having a car at your disposal is certainly so much more convenient. But it isn’t too bad either. And that’s the point. It might have been a little more difficult in a place where I had language problems. But in Delhi/Gurgaon, with the good old principle of asking around, I managed fine with autos, buses and yeah - call centre cabs. Couple of things helped. One was that I hadn’t been in corporate world for so long that I had forgotten the old ways. And the second was the realization that I didn’t have to do it. I am not broke, not yet I can, personally, still afford to hire an air-conditioned car. It just didn’t make sense.
It isn’t that bad! And there are ways to survive and be happy.

Being an entrepreneur – Dealing with the system
Life changes as an entrepreneur. Getting a business card is no longer just a matter of writing an e-mail to an admin staff. Ensuring that everything is legally done is no longer just a call to the company lawyer. Suddenly all of these have prices attached to them and you are wondering if you are not overpaying the CA, the CS and the lawyers. And although things have certainly changed from pre-90s, they are still not easy for small guys. Payment Gateways may refuse to give you merchant accounts for all sorts of silly reasons.
And yet, there is a way to deal with it. Celebrate small successes (finding a lower price for printing business cards? First 100 visits to your site?), things which would have meant nothing in your corporate life and be happy!
When is the right time?
Right after the college? After a couple of years of industry experience? After a decade of industry experience?
The answer is a clichéd one. Whatever works for you! I can tell you what worked for me. I started off after couple of years of experience.
What I didn’t possess two years ago, fresh out of college were these
• Any savings to sustain myself for even few months. It is important to have some safety net that if revenues are delayed, if things just do not go as they should, or even just for that planned settling down period, you will have something to sustain yourself. VC money is not something one should rely upon to help business take off.
• The real experience of dealing with the professional world out there. Many people may be smarter than me, but I felt that those months in corporate life were important for me. I matured as a professional and it’s a big help as an entrepreneur
What could be the hindrances ten years down the line?
• The lifestyle will be substantially more expensive. It would not be possible to go back to living the way we used to do as a student. Going back to buses and autos would be much more difficult than it is today. That means even if there are lots of savings, they may not be enough to last for long.
• Uncertainty is my life won’t be just my own. There would be family and kids and their education and aspirations.
But there are people in both these categories, who have done well. So, ultimately it boils down to what works for you!

About the writer: Jaya Jha is the Co-Founder of Pothi.com, a company that provides tools and marketplace for self-published books. An IIT Kanpur and IIM Lucknow graduate, she was a Product Manager with Google India prior to starting Pothi.com. Her hobbies include reading, writing and traveling. She blogs at http://jayajha.wordpress.com/

Markets are low - a new business ..

Our Jury panelist , Abhishek Rungta answers this for you .

please feel free to browse through his blog http://www.abhishekrungta.com/avoid-starting-your-business-during-high-tide/48/

Regards
E cell , IIM Calcutta

Just about time..

Hi all ,

Entrepreneurship cell at IIM Calcutta is gearing up for the 2nd round ;to be held across India. We have been getting compliments by our Jury Panel on the kind of entries we have received this year . Its been phenomenal . We have gone ahead and are giving a chance to over 50 teams in India to do a VC pitch . This is probably going to be first time in the history of the Entrepreneurship eco system in India that in short span of 5 days 50 VC pitches will happen .

As it is also time to be a part of history , its also time to get ready for the pitch.
We recommend that all participants should approach their buddies now , get resources and improve their plans .
Please feel free to buzz your buddies , they ll help you out .

Regards
E Cell , IIM Calcutta

The Smartest Unknown Indian Entrepreneur

Entrepreneur Marc Benioff is afraid of him. Venture king Mike Moritz wants to invest in him.

You have never heard of Sridhar Vembu, founder and CEO of AdventNet, the company behind newly launched productivity suite Zoho.

Vembu is a low-profile guy if there ever was one. He is also cheap as hell. Yet, of course, you know that among entrepreneurs, frugality is a virtue. A tremendous virtue.

Vembu has stretched this virtue to extreme limits, and added layers and layers of creativity upon it. The result? A 100%, bootstrapped, $40-million-a-year revenue business that sends $1 million to the bank every month in profits.

Doing what? you might wonder.

Selling network management tools, to be precise. But with a unique twist. Vembu employs 600 people in Chennai, India, and a mere eight in Silicon Valley. Imagine what that does to his cost structure!

Not only that, in India Vembu's operation does not hire engineers with highflying degrees from one of the prestigious India Institutes of Technology, thereby squeezing his cost advantage.

"We hire young professionals whom others disregard," Vembu says. "We don't look at colleges, degrees or grades. Not everyone in India comes from a socio-economic background to get the opportunity to go to a top-ranking engineering school, but many are really smart regardless.

"We even go to poor high schools, and hire those kids who are bright but are not going to college due to pressure to start making money right away," Vembu continues. "They need to support their families. We train them, and in nine months, they produce at the level of college grads. Their resumes are not as marketable, but I tell you, these kids can code just as well as the rest. Often, better.???

(Read my full interview with Vembu here.)

With that rather unique workforce of 600 engineers, Vembu has not only built an excellent, cash-cow, network tools business, but he recently launched Zoho, which is getting a lot of buzz in the Web 2.0 community.

Why?

Well, Zoho does everything that you would do with Microsoft Office. It also has a hosted customer relationship management service that is free for very small companies and only costs $10 per user per month for larger ones. It competes with Salesforce.com (nyse: CRM - news - people ), which charges $65 per user per month.

Marc Benioff, chief executive of Salesforce.com, has made an offer to buy Zoho for an undisclosed amount. Benioff seems appropriately nervous, since Salesforce.com's sales and administration costs are high, eating up most of his earnings. Can he afford to compete if Zoho undercuts him at such a dramatic scale?

Vembu has turned Benioff down.

Many venture capitalists want to invest. Vembu's situation is one that every entrepreneur dreams of. You don't need money. VCs are chasing you. Freedom is delicious, and Vembu knows it.

Vembu has a very exciting opportunity ahead of him. What the Chinese have done in manufacturing, he is showing that the Indians can do in software: undercut U.S. and European software makers dramatically. Not in information technology services. Not by body shopping. Vembu has done something few Indian entrepreneurs have been able to achieve--build a true "product" company out of India. This is not a head count-based business model.

A brief primer would perhaps help put things in perspective. "Product" companies build once and then market and sell the same thing multiple times to multiple customers. "Services" companies that do custom software development have to use "bodies" to do customer-specific development over and over again, with limited leverage. Theirs is a head count-based business model. Recently, popular software-as-a-service companies have come up with the model of "renting" software over the Web, thereby offering "products" as "services" while maintaining the scalability advantage of products.

Vembu has first done a network management product. Then he has done productivity suite Zoho as a software-as-a-service.

True, Vembu is a rare species in India these days. As far as I know, he's one of the very few entrepreneurs who has been able to execute on the premise of building software "products" and/or software-as-a-service out of India. He has a big vision, and so far, he has executed flawlessly.

Watch this guy!

The Myth Buster

Dates for the pitching stage

The timelines for i2I second round for different zones are as follows:

December 12th- Bangalore (South Zone)
December 13th- Delhi (North Zone)
December 14th- Mumbai (West Zone)
December 15th- Kolkata (East Zone)

The timing would be from 10 am onwards for all zones but are subject to change if the panelists request so. The venue for east zone is IIM Calcutta and the rest will be confirmed shortly. The participants are not being reimbursed any fare nor are we providing accommodation to any teams.

For people having accommodation issues in these cities, you can consider checking "Youth Hostel" which usually provide decent accommodation at cheap rates.

Regards,

E-Cell, IIM Calcutta

Sample pitch

Teams are expected to prepare a 5 minute presentation for the second round i.e. the pitching stage of the event. Though there are no guidelines for the same and each team can choose to decide on their presentations/financial charts, we are uploading a few sample 5 minute pitch for guidance. We would like to reiterate that this is not a standard and the judges/panelists in the second round themselves are not aware of any such sample videos being uploaded. The idea is to help the teams understand what all aspects they might not have considered so far and get a realistic feel of what all is achievable within 5 minutes.

We would also like to remind the 15 minutes allowed during the pitching stage (5 minutes for presentation and 10 minutes for Questions and Answers) can be changed if the jury panelists decide so.









Regards,

E-Cell, IIM Calcutta

Team Certificates

All the teams selected for the final round of i2I at IIM Calcutta would be given Certificates of Appreciation at the end of the event. Whereas teams which have qualified for the second round of the event but fails to make it to the finals would be given the Certificates of Participation. Certificates would only be given to those team members who were a part of the executive team at the time of the executive summary submission for the first round of the event. Special case of elimination of any member from the team has to be reported by the team leader to the organizers at the earliest. All the certificates for a team would be given to its team leader and team members are expected to collect their certificates from him/her.

Wishing all the shortlisted teams best of luck for the pitching stage.

Regards,

E-Cell, IIM Calcutta

The results of i2I - first round

Hi all ,
the results of i2I first round are declared . The following teams have qualified in their respective zones for the second round of the competition .

North Zone
Leudus
Team Phoenix
ZENITH
EMPYREAL
Trio
Iconoclasts
Empezar Labs
TOVAC
Endeavour
RENAISSANCE
Team iDubba
Team CheckMate

South Zone
SecondInnings
Lighting Lives
Automax
Aarambh
Team Phoenix
Tecovate
Fourth Quarter
Sansaar
Netoscope
HBC
Aksharit
Innowin
Delta Climate
Udaan
HIFLIERS
SKULLS

East Zone
bioLit
LPG SAVING DEVICE UNIT
Revolution 361
Horizon
prerna
Team Enseigner
vNote
SavetoLive
Microfin
Stock Raja
Parichay
HELLODOCTOR24X7
StarQ*

West Zone
CarboFibre
Repowering
Drishti
Be-Positive
Aspirants
Arth
vertosys
Med-Central Kompassion
CDS-Saakshar
Online Tadka
Kideator
Crubarg
Karma

*Please note the fact that there is no Central Zone shortlist as the jury panelists did not find many entries from the zone worthy of a second round ,
StarQ was the only entry to qualify into the second round and has been shifted to East Zone

For any further clarifications please feel free to call Apoorva , 91-9831562689 .

Regards

E cell , IIM Calcutta

i2I - first round results

Hey all ,

The i2I results were expected to be out by today .
There have been certain operational issues which were unavoidable .

Thus the results stand delayed and now will be uploaded on 23rd November .
Individual mails have been sent to participating teams by their buddies.

For any query feel free to call Apoorva Kumar +91-9831562689

Regards
~E cell , IIM Calcutta

Five things to consider before starting your own business

Getting free from dominating bosses and the possibility to make your own decisions is one of the lures of starting your own business. As attractive as it looks, not everyone is suited for self-employment. Before you go ahead with any plan to start a business it is important to take a close look at yourself and ask yourself some important questions.

1. Do you have enough start-up capital and a back-up income?
It takes money to make money, even if it is only a home business. Make sure that you have enough funds to equip yourself and begin marketing before taking the plunge. Also, don't expect to make a lot of money in the early stages of your business. You will need to set aside enough money to provide for you and your family during the initial start-up period for your business. Consult with other similar businesses and find out how long it took them to become viable.

2. Are you a self-moving person?
This is the key quality that separates an employee from and entrepreneur. If you need to wait around and be told what to do, then you would find it easier to get a job with a company rather than to launch your own business. On the other hand, if you are able to think of an idea and carry it out without prodding from someone else, then you may be able to succeed in your own business.

3. Are you willing to work more than a standard 9-5 day?
When you work for someone else you are contracted to work a certain schedule. At the end of the day, you can often able to just forget about the job, go home and relax. When you have your own business you carry a load of responsibility on your shoulders and you will often end up working longer hours than a normal salaried employee. If you like what you are doing and if your business is financially rewarding then you may not mind putting in a lot of extra hours and working when other people are resting. Once again, there is no "right" or "wrong" here. It is just a question of looking deeply at yourself and finding out what you are best cut out to do.

4. Is your family ready to back you up?
You may have a great idea for your own business, but before you begin you have to see if your family is ready to support your ideas. If you start your own business there may be an element of risk and an increased demand on your time. Owning your own business and having a lot of responsibility can also be very stressful. It is crucial that your closest loved one, the ones who share your life, also share your vision and will provide the emotional support and understanding that you need in order to be successful.

5. Are you passionate about the business that you want to set up?
In order to be successful in your own enterprise you will have to be self-moving and you may have to work harder than an employee in someone else's firm. If you do not really like what you are doing you will find it hard to get the inspiration and drive that is required for such a task. Choose an activity that you know something about and choose an activity that you enjoy doing. The ideal business would be one where you have some prior knowledge and something which you enjoy doing.

One thing to remember, there is nothing wrong with being an employee and working for someone else. There are a lot of advantages in terms of job security, steady income, standard hours and other benefits. It is just a question of looking at your total situation and making the right choice. On the other hand, if you do possess the qualities of an entrepreneur and really have a good idea backed by adequate capital and expertise, then starting your own business may be the best thing you will ever do.


"The entrepreneur in us sees opportunities everywhere we look, but many people see only problems everywhere they look. The entrepreneur in us is more concerned with discriminating between opportunities than he or she is with failing to see the opportunities." Michael Gerber Quote

Dealing with a Venture Capitalist !

A Sample Memorandum of Understanding

Between Investee Pvt. Limited (Investee) and Seed Ventures (“Investor”)

Please note that the terms indicated in this draft are only indicative of the nature of agreement made between an entrepreneurial startup and an investor organization. Do not take it to be a legal document.

This is only for your reference and understanding of how deals with VC organizations are worked.

This summarises an offer made to Investee by “Investor”, and accepted by Investee. This document by itself is not the actual legal agreement, but is the framework on which legal agreements will be drawn up.

1. Investee seeks to build out a business based on XYZ

2. “Investor” would like to help Investee become the leading player in its space in India, through infusion of funding and advice.

3. Investee is represented by Promoter One and Promoter Two (“Promoters”). “Investor” is represented by Mr. X, Y and Z. (“Investor”).

4. “Investor” agrees to buy a stake of x% in Investee for a consideration of Rs. XX crores.

5. “Investor” believes that a key factor in retaining and motivating Investee employees will be their participation in the equity upside of the company. One condition to this agreement is that Investee will create a pool of ESOPs of up to 7% of the company’s stock, to be kept aside for distribution to non-promoter full-time employees of the company.

6. Investee will re-constitute its Board as follows: a three-member board, with one person a representative of the Promoters, one a “Investor” representative and a third will be an independent professional nominated by the Promoters and approved by “Investor”.

7. “Investor” believes that early-stage businesses require regular advice and mentoring. “Investor” agrees to offer the following:

a. Appointment of a “lead partner” for Investee from among the fund’s partners, agreed to by both parties – who will be the primary point of contact with Investee

b. Best efforts for connectivity with business and referrals that could be useful to Investee.

c. Availability of lead partner on an on-going basis for meetings and other advisory sessions with the Investee team

d. The services of other “Investor” people on an if-available basis when requested by the Investee team

8. The above describe specific points in the agreement. We will now lay out other “Standard template” points that are likely to be present in the legal agreement.

a. The agreement, because of its variable, success-based nature, is likely to be in the form of a combination of equity and convertible debentures.

b. Promoters need to attest to “Investor” that all the shareholding by various people and entities in Investee is fully disclosed, along with the family and other relationships that exist between all shareholders.

c. Investee will need to execute employment, non-compete, confidentiality and other agreements with its promoters and key staff to the satisfaction of “Investor”

d. Promoters and other Investee people will need to execute agreements to the satisfaction of “Investor” that transfer all copyrights, trademarks, domain names or other rights relating to Investee’s business to the Investee company.

e. Investee will indemnify “Investor” against all losses and claims that can arise from any or all third parties in the course of Investee’s business

f. Investee will give “Investor” and its affiliates the right to maintain current level of stake holding in the next round too, by letting it subscribe to financial instruments at the price determined by the lead investor in that round.

g. Promoters will commit not to pledge, mortgage, sell or otherwise raise a lien on any or all of their stock in Investee without “Investor”’s permission

h. In case Investee is dissolved or wound up, the proceeds of this dissolution shall first go to clear the cost basis of “Investor”’s investment, and only then shall the remaining assets be divided between all investors in the ratio of their shareholdings

i. In case Investee is sold or merged into another business, the proceeds of the event shall be distributed as follows: the first sum worth a minimum of 2x of “Investor”’s investment shall be payable to “Investor”. In case the proceeds due to “Investor” are greater than 2x of its investment, then all proceeds shall be distributed in proportion to the shareholders’ stake in the company, in such a way that “Investor” always receives a sum which is the greater of the two options.

j. Both parties expect that Investee will be ready for an IPO within about 5 years of the date of investment. All shareholders may offer a percentage of their shares for sale in the same promotion, with “Investor” having a right to offer greater than the others’ proportion of shares. “Investor” shall not be considered a “promoter” in the company, and “Investor”’s shares shall not be subject to lock-up provisions.

k. Promoters shall have operational control of Investee – but the following will require the approval of “Investor”:

i. The creation of any new shares or class of security or financial instrument in the company

ii. Any amendment to the powers and rights of “Investor”
iii. Any issue of debt in the company of more than Rs. 10 lakhs
iv. Any change of control in the company
v. Any amendment to business plan or budget
vi. Any change in accounting / tax policies
vii. Any changes to the rights of common stock owners
viii. Any changes in the company by-laws or the articles of incorporation or memorandum and articles of association of the company
ix. Any changes in the board of directors
x. Any appointment / terminations of senior personnel in the company
xi. Terms of employment and changes in remuneration of the promoters
xii. Any change in the company’s line of business
xiii. Any restructuring, merger / acquisition / sale of whole or part of the company
xiv. Any creation of subsidiaries / entering into partnerships / alliances / joint ventures

xv. Any sale of assets greater than Rs. 15 lakhs
xvi. Any purchases greater than Rs. 10 lakhs

l. “Investor” shall have the right of first refusal if Promoters want to create and sell new or existing shares in the company

m. “Investor” and Investee will agree to standard reporting frequency and data in reports

n. If the promoters wish to sell their shares to an outside party, “Investor” shall have tag-along / drag-along rights – i.e. the rights to also sell its stake at the same terms

o. Investee will obtain key person insurance for its Promoters at reasonable cost

p. Investee will obtain D&O insurance for its directors at reasonable cost

q. Investee will retain an auditing firm of repute, satisfactory to “Investor”

9. The agreement will close subject to accounting and legal due diligence, completion of legal documentation and no material or adverse change in situation and law.

10. All terms of this agreement shall be kept in total confidence by Promoters and Investee

11. On the acceptance of this MoU, the promoters shall agree to cease all negotiations with any other investing parties for a period of 60 days, or till the legal agreement with “Investor” is completed, whichever comes later.

12. “Investor” hopes to use its resources to help make Investee a big success – and looks forward to a warm cordial working relationship with all Investee promoters and staff.



Signed,


For Investee For “Investor”

Let's hear what the Gods have to say about Entrepreneurship

Sorry if the title sounded cheesy. I needed to get your attention. Clearly if you are reading this line, I have been successful uptil now. Without trying your patience anymore:

Sanjeev Bikhchandani, of naukri.com fame, has a column in The Mint on entrepreneurship and some of his recent posts are as follows. Pls see what the Gods have to say. Hope it helps!

• So what's your big idea?
• Bootstrap before looking for funding.
• It's not about the money.
  

Thanks!

Have You Thought Over Your Idea?

Thanks for visiting the blog and happy to have you read my post.

I hope you are working hard on the executive summary of your business plan to submit it to us in time for round-1 deadlines. We are expecting entries well into the 3 digits this time for i2I. The competition will be fierce. How do you make sure you make it to round 2?

Having been part of the organizing team the last year and, again, this year again, let me relate some of the patterns we saw that might aid the judges in finding your 'needle' in the haystack:

1. Research the market. Motivate the problem you are positioning yourself for. Make sure you understand the landscape, the current players and the intricacies of their offerings, the regulatory norms that constrain business in your sector.
   
2. Define the business in specific terms. Make sure you exactly know what it is that you are offering in the market, how it differs from competition, who will buy it and why.
3. How will you make money? Your b-plan should not seem like a science project. There should be a clear revenue stream, and profits should be 'super-normal', much more than you can make in a fixed deposit account.

Just read your b-plan again before submitting, and ask yourself, if you were sitting on a corpus of 5 crore, would you make an equity investment into your own b-plan, sure that 2-3 years from now, the investment will lead to an IRR multiple times over fixed deposit rates for the same period.

How to make a Business Plan

( This is written as an introduction for PGP1s to the art of making Bplans)

An entrepreneur must not think just in terms of inches but think in terms of miles. As an entrepreneur, you must think in terms of how far you are going to go.

As one goes through life it is the little things that matter and make a huge difference. One must not look at the purpose or the benefits gained when doing something. Things that seem totally futile might also make a big difference one day.

Once you are an entrepreneur or you have decided to be one, you need a sound business model. A sound business model will look at what kind of services or products you have and how does the real market need it or is it a perceived need. Earlier business models lasted a long time. You made a business model and it stayed. However, today a business model needs to be sound enough only for today and tomorrow because day after tomorrow you might have to change this model.

The key of any B-plan is to optimise their business for “flexibility and adaptability” before “cost and performance”. Also to make sure it is not vulnerable to changes because changes would always happen in the market.

It is good to think out of box, but basics are important too. The bigger picture is built of smaller things.

There are two aspects of being an entrepreneur, internal and external. The internal aspect is personality. We need to question ourselves whether or not we have the personality to be an entrepreneur, whether we had the risk taking capability, whether we believed that we had the true talent to bring value to their endeavour.

And coming into the external aspect, large corporations are really ready to take us on, and would not let us settle. We have very little time before we are under attack by the big giants, be it any industry. And the only way to survive this attack is to have a unique and commercially viable business concept.

Business plan is necessary to apply for funding from investors, for bank loans and for the buyers and vendors. Investors may want to see our business plan to understand our planning and potential, and decide whether it is a good investment or not. Investors wanted a sustainable, well researched and systematised B-plan. Writing a B-plan also crystallises our thoughts and brings questions such as the need to do it, marketing scope and financial viabilities. With even private sector banks coming forward to finance business plans, a sound business plan is very helpful to get a loan. When you are an entrepreneur your vendor might be larger than you. Initially, to attract buyers and vendors, it is important to have a sound business plan.

Before starting to write the final B-plan, one should write down the important points.

1. Mission statement – how will you make a difference to your customers, employees, shareholders in the long run?

2. Product/Services – what is your product and do you know it very well?

3. Business objectives – what are your business objectives for the future? They need to be accurate and measurable. They could be macro objectives like getting a drug patent, or micro objectives like a sales target.

4. Keys to success – what are the elements that you need to succeed? They could be anything like marketing, operations or finance.

5. Industry analysis – who are the major players in the industry? Do you have a direction? Have you done an economic analysis of the industry perceptive? You need to look at costs of production, pricing related, what will be your profits margin, what kind of cash flows will you have.

6. Market/Competitor analysis – what are your market segments? What kind of competition do you face? Is it direct and/or indirect competition? What is your competitor’s strategy, pricing and promotion strategies, how is your product unique.

7. Strategies and milestones - you need to tell yourself why your customer would buy your product and set yourself goals for revenue and profits.

8. Marketing plan – you must know what your pricing, promotion, distribution strategies are.

9. Management/Organisation structure – you must decide your team and consultants.

10. Operations – you must know about your manufacturing, sourcing strategies.

11. Risk analysis- you must evaluate the risk involved in the financial, market, technical and competition aspects.

12. Forecasting - you must know your revenues, costs and how long it will take you to breakeven.

13. Financial requirements – what are your financial requirements? And will you need them in the short term or long term basis. What is your working capital and how you manage your cash flows?

Once the key ingredients of a b-plan are thought of, you can actually start writing a b-plan. The key components of a business plan as follows:

1. Executive summary – it is the most important part of the B-plan and it must summarize the entire B-plan. It must talk about the company, the product or service being provided and how it is unique, the management and finances required. It is advised to stick to the hard facts and put down only the truth. The executive summary must be concise and be able to generate enthusiasm.

2. Table of contents – it is very important and must be on a single page. The B-plan must be well organised and numbered.

3. Company and promoter description – tell the entire story. Write about how you started, what your current status is and what your future plans are. Write a story that interests the investor and show yourself properly. Be honest about challenges and problems. Give your friends and teachers a few credits.

4. Products and Services – talk about the functions and benefits of your product. Talk about how it’s going to benefit the world, how it’s going to benefit you. Write the purpose and objective as to why you want to go into business. Write about how your product is unique, pricing issues, patents and equipments needed and the benefit to customers.

5. Industry/Market/Competitor analysis – write the overall industry scenario, market segmentation, who your competitors are and what their strategies are, market shares, what market needs are you looking at for the future, how do you expect customer preferences to be then.

6. Marketing plan – branding, promotion, what kind of branding strategies are you going to use. How do you differentiate your product from other products? What is your target market, what is the price you wish to sell at, distribution, sales and what are the market share forecasts.

7. Operation plan – write about how you are going to manufacture, how you are going to source, what kind of labour do you need and what kind of location you need, like in retail business.

8. Management – what kind of team, consultants, advisors, and mentors will you bring? Be honest. Make sure to write about the teams or consultants you bring in. Some amount of credibility comes with the network you might have or the consultants you may use. Usually entrepreneurs have mentors and it’s a good idea to mention the advisors or mentors.

9. Financial plans – you must write about your assumptions, what your forecasts are for the future, what are your projections, P&I statements, balance sheets, how you will manage cash flows, when do you expect to breakeven and what are the business ratios.

10. Exit strategy – this is for the investor. Write about the exit strategies for the investor to use if he intends to.

11. Risk analysis – how will you counter risk?

12. Financial requirement – write about your needs and kind of funds & about the timeline of your financial requirements and how you expect to manage the cash flow issues.

13. Appendices – write everything else here like product material, promotions material, pictures of your product, teams' resume and your resume.

The presentation of B-plan and the uniqueness of product is important. It is advised to use proper formatting, colours and chart; keep it short and simple; pay attention to the strengths of business plan; keep backup data ready; proof read and edit it carefully; have content’s page and a nice covering letter.

Writing a B-plan helps in tangible presentation of the vague ideas, quantifying the approximate numbers, freezing the milestones and deliverables, estimating the funding requirements and sizing up the scale of operators.

Also collection of information, validation of the assumptions, analysis and planning and articulation of the basic value proposition are extremely important.

It is the essence , the way we want to tell which differentiates a Plan ....

~Ak

Slides on Writing an Executive Summary

E X E C U T I V E  S U M M A R Y

View SlideShare presentation or Upload your own.

How to write an executive summary Part 2.

How to write an executive summary.

About Entrepreneurship Cell (Ecell) - The core team. Materialising ideas, Fostering Hope.

The Entrepreneurship Cell (E-Cell) at IIM Calcutta seeks to foster the spirit of Entrepreneurship amongst the wannabe entrepreneurs by exposing them to the joys and challenges of having their own ventures. E-cell aims to inculcate entrepreneurship as an attitude and organizes theme based workshops, lecture series, facilitates venture support by encouraging interactions between start ups and VC firms to this effect. E-cell's year round activities inspire and impress upon people to confidently strive forward to unlock their potential. Opportunity to showcase their brainchild to the world is presented during i2I where teams compete among themselves to emerge as future business leaders - inspiring a new battalion of entrepreneurs.

Please feel free to contact us if you need any form of support and we will be there to help you. 

Ankit Garg  President, Entrepreneurship Cell ankitg2009@email.iimcal.ac.in	Apoorva Kumar  Core Team, Entrepreneurship Cell  apoorvak2009@email.iimcal.ac.in
Avinash Singh  Core Team, Entrepreneurship Cell  avinashs2009@email.iimcal.ac.in	Umesh Mishra  Core Team, Entrepreneurship Cell  umeshm2009@email.iimcal.ac.in