The Art and Science of Entrepreneurship

The Art and Science of Entrepreneurship
Half Title Page
Title Page
Copyright Page
Dedication
Contents
Introduction
Section A: The Art of Entrepreneurship
Chapter 1: The Entrepreneurial Journey
What is Entrepreneurship?
The Entrepreneurial Mindset
Taking Risks and Beating the Odds
Nature versus Nurture
Ten Traits of Entrepreneurs
A Serial (“Cyclic”) Entrepreneurial Spirit
Team Entrepreneurship
The Unending Entrepreneurship Journey
Chapter 2: The Three Mantras of Entrepreneurs
Mantra No. 1: Have a Winning Spirit
Every Problem Can be Solved
Decisiveness and Problem-Solving
Self-Confidence
Mantra No. 2: Aim High but be Prepared for the Worst
Risk Taking Must Focus on Worst-Case Scenario
Plan for Failure and Backup Plans
Survival Strategy
Mantra No. 3: There is No Shortcut to Success
Transforming Ideas into Businesses is Hard Work
Commitment is Hard Work
Being Committed Means Doing It 24/7
It is All About Having the Right Mindset
Chapter 3: The Three Beliefs of Entrepreneurs
Belief No. 1: I Seize Opportunities where Others Fear Failure
Investing During Downturns
Different Rules of the Game
Never Overdo Things
Never Panic
Belief No. 2: I Can Change the World
Change is the Only Constant
Belief No. 3: I Am Fearless and Relish Challenges
Fearless Entrepreneurial Conquerors
Thriving in Chaotic Environments
Breaking Rules
Chapter 4: The Three Realities of Entrepreneurship
Reality No. 1: Risks and Failures are Necessary
It’s Not About Blind Risk Taking
Handling Failure as It Happens
Culture and Environment
Reality No. 2: Creativity and Innovation Matter
Creativity
Innovation
Reality No. 3: Timing Makes a Difference
Is Lady Luck Shining?
Light at the End of the Tunnel
Chapter 5: The Alignment of Your Stars
Stars as Ingredients of Success
Basic Star No. 1: The Star of Opportunity
Entrepreneurship is About True Belief
Basic Star No. 2: The Star of the Team
You Can’t Do It All by Yourself
You Need a Diversified and Integrated Team
Basic Star No. 3: The Star of the Investor
Choose the Right Investors
Other Stars
Make Sure the Stars Remain Aligned Throughout the Journey
Chapter 6: You Need the Passion
What is Entrepreneurial Passion?
The Role of Passion in Entrepreneurship
An Entrepreneur’s Pressure Cooker Environment
Don’t be an Entrepreneur for the Wrong Reasons
Chapter 7: Thinking With Your Heart not Your Head
Gut Feel
Thinking with Your Heart
Entrepreneurial Judgement
From Small to Big
When the Head and the Heart Disagree
Going Back to Basics
The Reality – The Head Consulting the Heart to Make Decisions
Section B: The Science of Entrepreneurship
Chapter 8: Transforming an Idea into a Viable Business
From Idea to Businesses
The Process of Transforming an Idea into a Business
The Transformation Process is Tough
Enterprise Creation
The Need for Special Skills
Chapter 9: Strategy Development for Start-Ups and New Ventures
Start-Ups are Not Small Versions of Big Companies
Entrepreneurship is Hypothesis Testing
The Nine-Stage Strategic Planning Process for New Ventures
Chapter 10: The Process of Starting a Company – Early Stages
Starting and Taking Off
Step No. 1: Getting the Idea and Writing a Conceptual Plan
Step No. 2: Getting the Team Together for Buy-In
Step No. 3: Writing an Initial Business Plan (Mini Business Plan)
Step No. 4: Putting in Your Money and Getting Started
Step No. 5: The (Real) Business Plan
Step No. 6: Fund Raising
Early Fund Raising
New Platforms for Fund Raising
Seed Stage Funding
Later Stages of Fund Raising
The Formal VC Stage – Series A
Advanced VC Stages – Series B, C, D …
Pre-IPO Stages
Valuation of Start-Ups and Companies
Different Valuation Methodologies
Chapter 11: The Business Plan
A Living Document
The Cover Page and the Content Page
The Main Contents
SECTION NO. 2: Industry Background
SECTION NO. 3: The Company Background
SECTION NO. 4: The Company’s Vision, Mission, Objectives and Goals
SECTION NO. 5: The Management Team
SECTION NO. 6: The Product or Service Offered
SECTION NO. 7: The Market, Marketing Strategy and Plan
SECTION NO. 8: The Operational Strategy and Plan
SECTION NO. 9: The Short-Term and Long-Term Financial Plan
SECTION NO. 10: The Risk Factors and Contingency Plans
SECTION NO. 11: The Exit Strategy
SECTION NO. 12: And Beyond – Attachments, Appendices and Annexes
Chapter 12: Pitching
Why is Making a Good Presentation Important?
Achieve Success with a Good Pitch
Understand What Everyone is Looking for
The Pitch
Content of the Pitch
Delivering the Pitch
Chapter 13: Getting Ready for Formal Fund Raising
Step No. 7: Preparing for Fund Raising
Step No. 8: Getting Attention from Investors
Step No. 9: Confidentiality During Fund Raising
Step No. 10: Your Chance to Impress During Fund Raising
Step No. 11: Agreeing on the Terms of Investment
Step No. 12: Reaching the Final Agreement with the Investor
Step No. 13: The Final Stage of a Formal Fund Raising
Chapter 14: Three Rules of Thumb for Fund Raising
Rule of Thumb No. 1: Create Value First Before Finding New Funds
Rule of Thumb No. 2: Bring in Just Enough Funds Plus a “Small” Buffer Each Time
Rule of Thumb No. 3: Raise the Funds When You Do Not Need the Money
Looking at the Wrong Places at the Wrong Time
When and Where
Chapter 15: What Should Entrepreneurs Look for?
Start-Up Criteria No. 1: Look Not for Heroes, but Team Members
Start-Up Criteria No. 2: Alignment of Stars
Start-Up Criteria No. 3: Domain Knowledge
Start-Up Criteria No. 4: Set Measurable Long-Term Objectives and Break Them to Visible Near-Term Targets
Start-Up Criteria No. 5: Start with a Global Mindset
Start-Up Criteria No. 6: Be Prepared to Fail, Converting an Idea into a Business is the Most Difficult Step
Start-Up Criteria No. 7: Assemble a Good Board or Advisory Board
Start-Up Criteria No. 8: Prepare for the Due Diligence Assessment
You Must be Ready Yourself
Chapter 16: What do Investors Look for?
Investment Criteria No. 1: A Strong Integrated Team
Investment Criteria No. 2: The Assumptions in Your Business Plan
Investment Criteria No. 3: Feasibility to Transform the Plan into a Business
Investment Criteria No. 4: Fund Utilisation
Investment Criteria No. 5: Global Thinking
Investment Criteria No. 6: Commitment Level
Investment Criteria No. 7: Investor Returns
Knowing What the Investors Want is Important
Chapter 17: The Seven vc Traps
VC Trap No. 1: VCs Will Stop You from Talking to Other VCs
VC Trap No. 2: VCs Will Give High Valuations First and Cut Down Later
VC Trap No. 3: VCs Will Change Valuation When Drawing Future Tranches
VC Trap No. 4: Beware of Wordings in Investment Agreement
VC Trap No. 5: VCs Can Make Your Life Tough in Times of Crisis
VC Trap No. 6: Individuals Working for the VC Want Their Rewards Too
VC Trap No. 7: VCs Want to Control Future of Fund Raising Rounds
Know Your VCs
Section C: Useful Lessons Learnt
Chapter 18: How to Survive the Challenging Times
Surviving the Tough Times
Fundamental Strategy No. 1: The Survival Mentality that Only the Paranoid Survive
Fundamental Strategy No. 2: Back to the Basics – You Need Customers and You Need to Make Money
Fundamental Strategy No. 3: Entrepreneurs Do It Best at the Start-Up Stage
Fundamental Strategy No. 4: Even in Crisis and Chaos, Seek Out Opportunities
Fundamental Strategy No. 5: What Risk Taking Means
Fundamental Strategy No. 6: What Risk Taking Does Not Mean
You Must Learn How to Survive
Chapter 19: Lessons Learnt During the Dot.Com Era – The Tech Bubble Burst
Dot.Com Lesson No. 1: A Business is Still a Business
Dot.Com Lesson No. 2: An Idea is Not a Business
Dot.Com Lesson No. 3: There is No Shortcut to Success
Dot.Com Lesson No. 4: Not So Smart Money
Dot.Com Lesson No. 5: Internet and Technology Alone Do Not Create a Business
The New Economy
The Metaverse
Chapter 20: Surviving the Great Disruption (The Covid-19 Economic Impact)
Introduction
The Great Depression of 1929
Winners and Survivors of the Great Depression
Masterplan for Survival
Phase 1 Plan (First 6 Months to 1 Year): Time of Chaos and Confusion
Phase 2 Plan (the Next 1 to 2 Years): Period of Survival or Collapse
Phase 3 Plan (Beyond 2 to 3 Years): Rejuvenation and Regrowth
Conclusion
Chapter 21: Governance, Culture, Deal Fatigue, Team Disagreement and Backup Plans
Governance
Culture
Deal Fatigue
Team Disagreements
Plan A, Plan B, Plan C
Chapter 22: Environmental Factors for a Good Entrepreneurship Ecosystem
Creating a Good Entrepreneurial Environment
The Old Singapore Model of Success – Not by Entrepreneurship
Nurturing Entrepreneurship
Government and Entrepreneurship
The Ingredients for a Successful Entrepreneurial Environment
Entrepreneurial Building Basic Ingredient No. 1: A Conducive Regulatory Environment
Entrepreneurial Building Basic Ingredient No. 2: The Financing Environment
Entrepreneurial Building Basic Ingredient No. 3: The People – Entrepreneurs
Creativity versus Innovation
Education System and Entrepreneurial Training
Entrepreneurial Building Supporting Ingredient No. 1: Government Initiatives and Infrastructure
Entrepreneurial Building Supporting Ingredient No. 2: Corporates and IP Marketplaces
Entrepreneurial Building Supporting Ingredient No. 3: Innovation and Enterprise (I&E) Activities
Chapter 23: My Entrepreneurship Journey
Epilogue
About The Author
Index