Full Text Available
Note: Clicking the button above will open the full text document at the original institutional repository in a new window.
Factors affecting the equity-split decisions at business start-up in South Africa
Dissertation (MBA)--University of Pretoria, 2011.
Saved in:
| Other Authors: | |
|---|---|
| Format: | Thesis |
| Published: |
University of Pretoria
2013
|
| Subjects: | |
| Tags: |
No Tags, Be the first to tag this record!
|
| _version_ | 1867613492204273664 |
|---|---|
| access_status_str | Open Access |
| author2 | Swanepoel, Elana |
| author_browse | Swanepoel, Elana |
| author_facet | Swanepoel, Elana |
| collection | Thesis |
| dc_rights_str_mv | © 2011, University of Pretoria. All rights reserved. The copyright in this work vests in the University of Pretoria. No part of this work may be reproduced or transmitted in any form or by any means, without the prior written permission of the University of Pretoria |
| description | Dissertation (MBA)--University of Pretoria, 2011. |
| format | Thesis |
| id | oai:repository.up.ac.za:2263/25225 |
| institution | University of Pretoria (South Africa) |
| last_indexed | 2026-06-10T12:37:00.236Z |
| license_str | Other — see source repository |
| provenance_str_mv | Harvested via OAI-PMH from UPSpace — University of Pretoria Institutional Repository |
| publishDate | 2013 |
| publishDateRange | 2013 |
| publishDateSort | 2013 |
| publisher | University of Pretoria |
| publisherStr | University of Pretoria |
| record_format | dspace |
| source_str | UPSpace — University of Pretoria Institutional Repository |
| spelling | oai:repository.up.ac.za:2263/25225 Factors affecting the equity-split decisions at business start-up in South Africa Swanepoel, Elana ichelp@gibs.co.za Zucchi, York Arnim Vigoni UCTD Equity split Equity negotiation Start-up Dissertation (MBA)--University of Pretoria, 2011. The issue of the division of equity is one that founders of joint ventures inevitably face during the start-up phase of business development. Whilst this is an issue of great importance in that it shapes the capital structure of the business (Roberts and Zender, 2008) and impacts on the future productivity of founder members (Holstrom, 1982), it is an area that has received little systematic attention in academic literature. Hellman and Wasserman (2011) conducted a large scale study of equity splits in start-up’s and noted that the three factors of (1) the value of the idea, (2) past entrepreneurial experience and (3) capital contribution played a significant role in determining the division of equity. This study employs a qualitative research methodology to investigate the process of equity negotiation with the aim of identifying further factors that may guide decisions in equity negotiation. The key findings of the research are that the dynamics of the interpersonal relationships that exist between founder members appear to influence equity negotiations, in that preserving goodwill in these relationships was a factor that motivated founder members to lean towards equal equity splits. The two phenomena that are associated with a need to preserve goodwill within the relationship are the existence of a relationship prior to entering into business, and the business venture being based on a shared idea.Copyright Gordon Institute of Business Science (GIBS) unrestricted 2013-09-06T19:54:51Z 2012-07-11 2013-09-06T19:54:51Z 2012-03-08 2011 2012-06-03 Dissertation Zucchi, YA 2011, Factors affecting the equity-split decisions at business start-up in South Africa, MBA dissertation, University of Pretoria, Pretoria, viewed yymmdd < http://hdl.handle.net/2263/25225 > F12/4/625/zw http://hdl.handle.net/2263/25225 http://upetd.up.ac.za/thesis/available/etd-06032012-151704/ © 2011, University of Pretoria. All rights reserved. The copyright in this work vests in the University of Pretoria. No part of this work may be reproduced or transmitted in any form or by any means, without the prior written permission of the University of Pretoria application/pdf University of Pretoria |
| spellingShingle | UCTD Equity split Equity negotiation Start-up Factors affecting the equity-split decisions at business start-up in South Africa |
| title | Factors affecting the equity-split decisions at business start-up in South Africa |
| title_full | Factors affecting the equity-split decisions at business start-up in South Africa |
| title_fullStr | Factors affecting the equity-split decisions at business start-up in South Africa |
| title_full_unstemmed | Factors affecting the equity-split decisions at business start-up in South Africa |
| title_short | Factors affecting the equity-split decisions at business start-up in South Africa |
| title_sort | factors affecting the equity split decisions at business start up in south africa |
| topic | UCTD Equity split Equity negotiation Start-up |
| url | http://hdl.handle.net/2263/25225 http://upetd.up.ac.za/thesis/available/etd-06032012-151704/ |