Veritas project

Abstract

The project involved working with Veritas, a US based VC firm with interests in the education and health sectors. The work broadly covers three main areas:

1. Industry research:

This step required research on the industry such as size, growth prospects, general trends,

competition, risks etc. For this project, the company was focused on the education sector, and

within that, specifically students who come to the US for a short duration under the J-1 visa

programme mainly for internship or training purposes. Companies in this sector work closely with visa sponsors and potential employers and earn fee from candidates. The company finally chosen in this sector also had a hospitality management school so after the selection of the company, some further industry research on the hospitality management industry was also required. 2. Company research

The name ‘Global’ will be used to refer to the company finally chosen to maintain confidentiality. Global’s primary business is placing international students as interns in the hotel industry. Apart from that, it has two other businesses – a hospitality management school which provides both academic and practical training, and an online business which offers certification courses in hospitality management. Both qualitative and quantitative information was collected on all the three business lines of Global. 3. Financial modeling

Historical financial statements were obtained from the company and based on these and other industry trends, projections were made and a valuation arrived at. An expected multiple was applied to the projected margins to get the valuation and expected returns on exit. The numbers from the financial statements presented in this report have been modified and valuation numbers have not been shown to maintain confidentiality.