FINANCES
Financing - Concept Development
Largely volunteer help from leaders
Financing - Initial Trial
• Low end
o Team budget $100,000 (average)
o Total budget $1,000,000
o small projects
o most likely information technology applications (small products, reconfiguring software, consultation and design services, etc.)
• High end
o Assume $1,000,000 per business team (average)
o Total $10,000,000
o Medium sized projects
o most likely information technology applications (small products, reconfiguring software, consultation and design services, small units, retro-fit and modification of existing products, etc.)
• Support - Leadership committees donate time and effort
Financing - Subsequent trials
Details are highly variable based on outcome of initial trial
Compensation
• Students - minimum wage, college credit, equity stake in company, additional stake from a successful team - All students combined represent the largest stake.
• Professors - negotiate with university, possible equity stake, and possible salary or consultation fees after initial trial
• Industry committee members - possible equity stake, and possible salary or consultation fees after initial trial
• Program - sufficient funds to cover costs and initiate subsequent rounds
• Investors - equity stake