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Entrepreneurship – from ideas to reality (Open University)

https://www.open.edu/openlearn/money-business/entrepreneurship-ideas-reality/content-section-overview Ideas spotting an opportunity (e.g. a gap in the market) experiencing a problem and looking for a solution for it (e.g. an invention) being able to do something that others can’t (e.g. using a talent) being prepared to do something others don’t want to or can’t do (e.g. cleaning) having something that others might need or want (e.g. investing in plant or machinery for hire). Sources of innovation Internal An unexpected happening A need for improvement in a proces An incongruous happening Changes in the indsutry, its structure of the market External Changes in population demographics Changes in society, in perception, mood, or meaning New types of knowledge The bright idea past and present work and experience hobbies and leisure interests qualifications and studies new markets/uses for existing products solving a persistent problem research and development (R&D) patents, licences and research institutes invention opportunities from new technologies opportunities from economic/market changes changes in consumer behaviour complaints and irritations expressed by potential customers changes in rules and regulations imitating an idea from a different locality imitating an idea from a different industry improving an existing product films, TV and radio books, magazines and the press trade shows, exhibitions and conferences business and social networks family and friends. Discovery skills Observing Questioning Curiosity Connectivity Associating Incubation Creativity and innovation Sometimes new or better solutions can come from:

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Financial Modeling Foundations (LinkedIn Learning)

https://www.linkedin.com/learning/financial-modeling-foundations https://www.linkedin.com/learning/certificates/61b4251cb70b473f8b1820d156848110144fdf6450252fca362d9706a6d36749 Financial models should: Be simple Focus on key cash flow drivers Convey assumptions and conclusions Help evaluate risks through: Sensitivity analysis Break-even analysis Scenario analysis Types of models Comparison Deterministic (known inputs, precise outputs) vs stochastic (probability-based, Monte Carlo simulations; more complex) Three Statement Model DCF Model Buyout Model Valuation from model Present value of discounted free cash flow or multiples lnvestment decision and implied value depends on equity IRR versus market hurdle rate Entry multiple and acquisition premium depends on equity IRR and hurdle rate Base case risk measurement Weighted average cost of capital, multiples, terminal growth Debt capacity, debt terms Senior and subordinated debt financing and exit multiple Traditional risk assessment from equity perspective Sensitivity analysis and scenario analysis of DCF and multiple value Sensitivity analysis and scenario analysis of equity IRR Sensitivity analysis and scenario analysis of equity IRR Tradition risk assessment from debt perspective Break-even analysis to determine ability to refinance and maintain credit rating Break-even analysis to determine at what point cash flow can’t service debt Break-even analysis to determine IRR on senior and subordinated debt Monte Carlo analysis with model Probability distribution of EPS and DCF valuation Probability distribution of equity IRR and probability of DSCR below 1.0 Probability distribution of equity IRR, senior IRR and junior IRR lnformation base Historical financial statements, analysis of value drivers Contracts and analysis of commodity prices and other value drivers Historical financial statements, analysis of value drivers, transaction terms Model starting point Historic balance sheet Sources and uses analysis Sources and uses and pro-forma balance sheet Cash flow process Net cash flow after dividends that result in changes in short-term debt or surplus cash Cash flow waterfall that ultimately measure dividends paid to equity Cash flow waterfall that ends in dividends paid to equity Debt analysis New and existing New debt issues from transaction New debt issues from transaction Model termination Arbitrary terminal period End of project life Transaction holding period Model output DCF valuation, EPS projection, implied P/E, credit quality Equity IRR, project IRR, DSCR Equity and debt IRRs, debt/EBlTDA Corporate financial model (three-statement model) 02-0X, 03-0X files

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Introduction to Corporate Finance (Columbia Business School)

Introduction to Corporate Finance https://learning.edx.org/course/course-v1:ColumbiaX+CORPFIN1x+1T2023/home Basic Finance Concepts Rate of Return Rate,of,returnannual=Returninitial,investmentInitial,investment=GainInitial,investmentRate,of,return_{annual}=\frac{Return - initial,investment}{Initial,investment}=\frac{Gain}{Initial,investment} Ex: Invest £100k, return £50k Rate,of,returnannual=50100100=50Rate,of,return_{annual}=\frac{50-100}{100}=-50% Future Value Future,value=Present,value×(1+rate,of,return)Future,value=Present,value\times(1+rate,of,return) Compounding Future Value FVt,years=PV×(1+r)tFV_{t,years}=PV\times(1+r)^t Ex: Invest £100k, RoR = 10% FV2=£100k×(1+0.10)2=£121kFV_2=£100k\times(1+0.10)^2=£121k Present Value PV=FV(1+r)tPV=\frac{FV}{(1+r)^t} Ex: £150k return in 2 years at 10% RoR PV=£150k(1+0.10)2=£124kPV=\frac{£150k}{(1+0.10)^2}=£124k Opportunity cost of capital = alternative investment RoR PV=C1(1+r)1+C2(1+r)2+C3(1+r)3+PV=\frac{C_1}{(1+r)^1}+\frac{C_2}{(1+r)^2}+\frac{C_3}{(1+r)^3}+… Ex: Return of £110 in 1 year, £121 in 2 years, cost of capital = 10%

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Edible Insects (National Taiwan University)

https://www.coursera.org/learn/edible-insects Why Why not: Cultural differences between which animals (and parts of animals) are and aren’t food → Too cute? Too scary? Disgust? Safety? Endangered? More useful alive? Bad taste? Racism? Lower inputs (space, feed, water), lower emissions, higher nutrition density (low carb, medium protein, high protein, high fibre, high nutrients/minerals) Insects react to external (but not internal) physical pain but don’t seem to care - they don’t suffer (mental), they’re likely not conscious Veganism kills more than entoveganism: 1 acre of crops kills 800,000 insects Can be prepared in a huge variety of ways, from flour/minced to whole as nuts/land-prawns substitutes, and have a range of innate flavours Circular agriculture: flies eat chicken waste, chickens eat fly larvae Utilise food waste (avoid landfill) Space food!? Market strategy Innovation success: relative advantage (better), compatibility (with values), complexity, trialability (MVP), observability Passive rejection: lack of supply limits consumption (”I want to, but can’t”) From novel to normal: form (look like food), availability (supermarket) Supply Most common today in Thailand (leader in farming and research), Mexico (mostly traditional methods) Food safety concerns similar to other animal products, so ensure quality feed and cleanliness Novel food laws vary by region, e.g. US assumes safe and Europe assumes dangerous Traditional collection from the wild Depletion, seasonal, labour intensive, higher risk of disease Farming Largest companies in USA, Netherlands, Thailand Already large farms for animal feed (chickens, fish, reptiles, etc) Crickets 21% protein chicken feed for 20 days, then 14-21% protein feed, leaves or fruits before harvest at day 45 (for flavour) Maintain temperature; keep ants/predators out; avoid overcrowing; avoid inbreeding Mating from days 40-45; within 24 hours of males singing, add bowl of sand/soil/rice husks for egg laying; move bowls to breeding tank, hatch in 7-10 days Mealworms 25-30C, 65-70% humidity, leave open or ventilated lid, in dark, like crowds; harvest 3~4 months, keep 10% for next generation Tiered system: tray on top for beetles, mesh for larvae to fall through to bottom tray Other uses Cheese, honey, food colouring, silk, fertiliser, tea, sweeteners, polish, medicines, … Links Vincent Holt (1885) “Why not eat insects?” https://books.google.co.uk/books?id=awNbAAAAQAAJ&printsec=frontcover&redir_esc=y#v=onepage&q&f=false Shelomi (2015) “Why we still don’t eat insects: Assessing entomophagy promotion through a diffusion of innovations framework.” https://www.sciencedirect.com/science/article/abs/pii/S092422441500151X?via%3Dihub Jongema, Y. (2017). “List of edible insects of the world” https://web.archive.org/web/20230416025101/https://www.wur.nl/en/research-results/chair-groups/plant-sciences/laboratory-of-entomology/edible-insects/worldwide-species-list.htm van Huis, A., Oonincx, D.G.A.B. The environmental sustainability of insects as food and feed https://doi.org/10.1007/s13593-017-0452-8 Fischer, B. (2019). “How to reply to some ethical objections to entomophagy.” https://doi.org/10.1093/aesa/saz011 https://warning.acfs.go.th/th/articles-and-research/view/?page=30 (มกษ) (An e-book with illustrated instructions.) https://www.bugsolutely.com/wp-content/uploads/2018/02/GAP_ENG_Bugsolutely.pdf https://www.acfs.go.th/standard/download/GUIDANCE_GAP_CRICKET_FARM.pdf https://entonation.com/thailand-releases-first-ever-good-ag-practices-cricket-farming/ https://www.foodnavigator-asia.com/Article/2018/03/19/Good-Agricultural-Practices-for-cricket-farming-released-for-the-first-time Dortmans, B., Diener, S., Verstappen, B., & Zurbrügg, C. (2017). Black soldier fly biowaste processing: a step-by-step guide. Dübendorf, Switzerland: Eawag, Sandec. https://www.dora.lib4ri.ch/eawag/islandora/object/eawag:15615 Bugsolutely. “Trying Edible Insects for the First Time” https://www.bugsolutely.com/manga/