The case follows CircleUp, an online market that connects early-phase consumer retail firms with prospective investors. The case starts by describing the dynamics of the conventional private equity industry, which incentivize firms to favor investments in larger, later-stage companies. As a result, swearing creators fight to fundraise. Ryan Caldbeck and Rory Eakin, two alums of the Stanford Graduate School of Business, launch CircleUp to help these companies obtain backing.
Using technology to ease the trade procedure and to both choose the companies eligible to be recorded on the platform, the team hopes to create a brand new asset category. Nonetheless, Caldbeck and Eakin face important challenges in scaling both the supply side (businesses) and also the demand side (investors).
PUBLICATION DATE: August 01, 2015 PRODUCT #: E562-HCB-ENG
This is just an excerpt. This case is about INNOVATION & ENTREPRENEURSHIP