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Unformatted text preview: TRENDS and METHODOLOGIES Corporate finance professionals are increasingly getting involved in value based management--the practice of figuring out if shareholder value is being created in each of a company's activities. Look for this practice to get hotter and hotter over time. Some of the most innovative companies in the world are now using value management. 1. The amount of capital provided to small and start-up companies will continue to shrink All of the sources of finance, from venture capitalists to business angels to banks to peer-to-peer lenders, are all reducing the amount of money that they are providing to entrepreneurs. Until the problems in the credit markets get resolved and the economy starts to grow again, its very unlikely that we will see a reversal of this trend. Getting money will be difficult for entrepreneurs. 2. Investors in start-up companies will continue to face a poor market for exiting from their investments The IPO market is in a deep slump and there is little indication that it will emerge from that downturn in 2009. With The IPO market is in a deep slump and there is little indication that it will emerge from that downturn in 2009....
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