Week 13 Reading Reflection

Valuation of Entrepreneurial Ventures

               I found this chapter to be very interesting. What stood out to me the most was the idea of "rollups." I had never heard this term before but I realize it has become more and more popular in business. A roll up is when investors acquire and merge multiple small companies together in order to achieve cost savings. This seems to be a very innovative and modern way of business that could potentially have a very large impact on an industry. Something that surprised me while also confusing me was that "the stated net income of a private company may not truly reflect its actual earning power." I wish this author explained this a little bit more for the reader to understand. Overall, this chapter had a lot of useful information for entrepreneurs that could easily be applicable to real life. If I could ask the author something it would be to give a real life example of when a start up business or entrepreneur has used the "checklist for analyzing a business" to give it credibility and show how it is applicable to the real world of business. Otherwise, there wasn't anything that I disagreed with the author about.