Finance for Creative Businesses PG (11498.1)

In this unit students will investigate the risk and reward characteristics of creative ventures, in particular the challenges of high variance and uncertainty in performance, and intangibility of the underlying asset class (intellectual property). Financing strategies that address these characteristics are typically complex with multiple parties having different expectations and risk profiles. Creative firms must integrate project financing with the demands of an ongoing business. Students will learn how to build simple financial models and perform Net Present Value and Internal Rate of Return calculations.

Learning outcomes

On completion of this unit, students will be able to:
1. Evaluate the probable financial risks and rewards of a creative venture and construct an appropriate financial tool;
2. Analyse the financial implications of a creative venture for the creative firm;
3. Assess the risk and reward preferences of prospective investors in a creative venture;
4. Critically analyse the financial characteristics of intellectual property as an asset class; and
5. Construct a financial model of a creative venture.

Graduate attributes

1. UC graduates are professional - employ up-to-date and relevant knowledge and skills
1. UC graduates are professional - use creativity, critical thinking, analysis and research skills to solve theoretical and real-world problems
1. UC graduates are professional - work collaboratively as part of a team, negotiate, and resolve conflict
2. UC graduates are global citizens - behave ethically and sustainably in their professional and personal lives
2. UC graduates are global citizens - make creative use of technology in their learning and professional lives
2. UC graduates are global citizens - think globally about issues in their profession
3. UC graduates are lifelong learners - adapt to complexity, ambiguity and change by being flexible and keen to engage with new ideas

Prerequisites

None.

Corequisites

None.

Incompatible units

None.

Equivalent units

None.

Assumed knowledge

None.