Strategies for Improving Technology Startup Capital

Strategies for Improving Technology Startup Capital by Inibehe Eno-Adams MBA, Marylhurst University, 2012 BA, California State University, East Bay, 1995 Doctoral Study Submitted in Partial Fulfillment of the Requirements for the Degree of Doctor of Business Administration Walden University October 2018 Abstract Funding is one of the most critical resources high potential technology startup (HPTS) ventures need to achieve success. Some startup founders lack access to capital, a critical resource for HPTS founders to create value for customers and capture value for their organizations. Capital constraints can hinder business performance, endanger growth and the ability to grow and scale into the global markets. This multiple case study exploredFunding is one of the most critical resources high potential technology startup (HPTS) ventures need to achieve success. Some startup founders lack access to capital, a critical resource for HPTS founders to create value for customers and capture value for their organizations. Capital constraints can hinder business performance, endanger growth and the ability to grow and scale into the global markets. This multiple case study explored the strategies HPTS firms used to access capital to grow and scale into global markets. Mishra’s venture capital investment model and Blank’s customer development model served as the conceptual framework for this study. Data were collected from semistructured face-to-face interviews, direct observations, member checking, and a reflective journal. Participants were selected using a purposive sampling of 5 founders from the Silicon Valley of California, who were involved in equity finance decisions in the last 5 years. Yin’s 5-step data analysis plan was used in the final data analysis. Eight themes emerged from the study: capital constraint; identification of potential investors; collaboration, guidance, and support; investment potential; investment thesis; measurement of success; passion and preparedness; and prevention of stock dilution. The findings of this study have implications for positive social change. HPTS ventures can use the study findings to gain approval of investment proposals and increase ventures that create value for customers and for the organizations. Strategies for Improving Technology Startup Capital by Inibehe Eno-Adams MBA, Marylhurst University, 2012 BA, California State University, East Bay, 1995 Doctoral Study Submitted in Partial Fulfillment of the Requirements for the Degree of Doctor of Business Administration Walden University October 2018 Dedication I dedicate this doctoral study to Ndifreke Adams, my lovely wife, my daughters, and son: Inyene, Edima, and Innih Adams for their unconditional love, patience, and support. To my deceased parents, Robinson Adam and, Ako Williams, and the best grandmother I could ever have asked for, Atim Udo-Idiong. Dad, you rightly envisioned your son achieving a university-level education, and mother you planted the seed of that dream early on into my head to sprout. To late Chief John Ekpenyong Isok, you demonstrated that wherever there is a will there is a way. Thank you for showing up when I needed funding to complete my secondary school education. Otherwise, I would not reach this level. I dedicate this doctoral study also the late Dr. Simon Awakessien and Mrs. Mayen Awakessien for funding my trip to study in the U.S. To Friday Ikpe, a special dedication of this study to you for opening the door of opportunity for me to advance my education beyond secondary school education in the United States. Dr. Darrell Burrell, a special thank you for being a great advisor to this achievement because nowhere did I envision taking my educational achievement to this level. Lastly, I dedicate this study to all my relatives and friends. Thank you for your full support and encouragement. Acknowledgments A special acknowledgement to Dr. Gregory Uche for serving as my program chair and for his patience and guidance to enable me to achieve this dream. Additional acknowledgement to Dr. Janet Booker, who served as my second committee member. My final acknowledgement to Dr. Patricia Fusch, my University Reviewer (URR), for encouraging and supporting me throughout the review process of my doctoral study