Describes the issues related to the design and evaluation of financial contracts between consumers and suppliers of capital, as well as between companies and employees. Simple conceptual framework introduced and some important issues are discussed: 1) How Funds appropriated? 2) As the risk identified? and 3) What are the incentives for all parties to the transaction? The focus of the note to provide the reader a number of issues that must be addressed in the design and evaluation of any transaction. Created for use in entrepreneurial finance. Can be used to provide general background reading or as a job for a day dedicated to the discussion of the transaction. "Hide
by William A. Sahlman 35 pages. Publication Date: August 17, 1987. Prod. #: 288014-PDF-ENG