Entrepreneurship Heather Evans Case Essay Example

the company. Positive relations with important providers in the industry such as distribution channels, suppliers, and showrooms, represent a very important factor for success, but she failed to present her strengths and weaknesses on this matter. While projected licensing revenues were emphasized, Heather did not analyze the effects of indiscriminately name licensing during the 1970s.

A competitive advantage for this business concept and protection from copy cats was not mentioned in the plan either and cash flow assumptions were unclear. We know that the margins are high for Heather’s company and that sales are volatile, but she could have included a sensitivity analysis to demonstrate the difference between the best case scenario and what is most likely to occur. Heather placed high hopes on Arden & Co. o help finance her company and when they showed little interest in her business plan, she blamed herself for not pressuring the investors enough to finance her startup, and speed up the process. Although Venture Capital would invest, her financial problems remained due to the time issues she faces. She would need the capital within a month and unfortunately Venture Capital is unable to meet these demands. Helen Neil Fashions was also an unfeasible solution also due to time issues.

The only option for Heather was to look for small investors, rely on friends to help her business, and to construct an attractive and reasonable deal to offers her potential investors. She decided to distribute the relatively small amount needed among 5 investors and 10 friends, and offer equity percentage to her investors. Her friends would also enjoy the privilege of free exclusive dresses during the coming season.