Victoria Athletics: Financial Modeling

By Anne Beyer, Robert Siegel, Andrew Freiman
2023 | Case No. E828 | Length 4 pgs.
Entrepreneurship

How does the concept for an innovative new product move beyond the planning stage—and how does the entrepreneur make a compelling case to investors that this new business will get off the ground? The case study details the planning and preparation prior to the discussions Victoria Athletics needed to have with potential Series A investors.

A detailed financial model is key to this preparation, both to determine the target size for the financing round and to provide investors with projections on production costs, marketing plans, and target sales. The proceeds from the fundraise would be used to invest in inventory, hire salespeople, fund marketing, support research and development, and finance ongoing other expenses as the new venture seeks its product-market fit. Had Victoria Athletics covered all the bases, and would investors be convinced?

Learning Objective

This case is designed to help students understand the steps to create a financial model for a new company. Students will discuss the research, calculations, and assumptions that will guide the venture’s fundraising strategies and product launch.
This material is designated for use in specific Stanford GSB classes only. For inquiries, contact the Case Writing Office.

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