Before closing an investment deal, an entrepreneur needs to protect their interests, and an investor needs to verify the stability of the opportunity. This series of steps is called the due diligence process. In this course, you will create a due diligence project plan for your investment or opportunity that maps out how to get from term sheet to closing. This process includes key milestones, timeframes, a detailed understanding of key players' responsibilities, and consideration for the various types of due diligence. Then, you will compile a list of questions for the due diligence checklist, a key element of the process that outlines the questions that need to be answered and the documentation that is required to close the deal. Lastly, you will identify, review, and analyze the dozens of critical documents being exchanged that are needed to finalize the investment deal and retain for future use, protection, and reference. By completing these steps, you will be ready to determine if you should move forward or hold back on your deal.
It is recommended to take Assessing Startup Viability and Funding Options; Pitching Your Business Opportunity; Protecting Your Interests; and Valuation, Dilution, and Financial Planning or to have equivalent experience prior to this course.
WHAT YOU'LL LEARN
Create a due diligence project plan for an investment or opportunity
Compile a list of key questions for the due diligence checklist
Identify the documents needed at closing and post-closing
Executive Director, Cornell Center for Regional Economic Advancement
Tom Schryver is the Executive Director of the Cornell Center for Regional Economic Advancement (CREA) and is a Visiting Lecturer at the Johnson Graduate School of Management. CREA’s programs include Rev: Ithaca Startup Works, the Southern Tier Startup Alliance, and support of Cornell’s regional economic advancement efforts. He leads the Upstate NY I-Corps Node and is the lead instructor for Cornell Engineering’s Commercialization Fellows program. He serves on the teaching team for eLab, Cornell’s student business accelerator, and teaches entrepreneurship and business strategy at Cornell.
Mr. Schryver is an experienced entrepreneur, having served as a startup founder and senior finance executive of high-growth companies. Previously, he was Director of Finance for the Triad Foundation, where his responsibilities included investing the Foundation’s $250m portfolio to top-quartile returns. His board affiliations include the Cornell Agriculture and Food Technology Park and Tompkins County Area Development, and as board vice-chair of the Business Incubator Association of New York State.