Two young Columbia Business School graduates, Ross G. and Jason G., launched a start-up firm which helped building owners remain in compliance with Chicago's property regulations. After investing $40,000 a piece and developing a basic product, they were approached by one of their first customers about buying an equity stake in the company. While the customer would provide both cash and access to Chicago's biggest property owners, Ross and Jason had several issues to ponder, including whether it was too early to bring on an equity partner and what type of terms would lead to the best outcome. In this case students examine Ross and Jason's forecasts for varying amounts of cash infusions, as well as what type of deal structure would prove ideal. This is a three-part case study.
Case ID: 110418
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