Our Tips

Reasons We Didn’t Invest in Your Company

We want to invest in products and services that have a promising future and that are well-thought through, so we streamline our investments carefully in order to get the best results not only for us but also for the company.

Investing in something that is not going to pay off for you is not our style. Since we have your best interest in mind, it would not be fair to you either to support an idea that is not quite there yet where it should be (in the development phase), and that it might need more elaboration to come through as a successful launch. Our team of experts who has plenty of experience is able to assess the product’s or idea’s potential market success, and if your idea seems not to be “market eligible” yet, we will not invest in it, but we can point out to you what to make better and apply again. We are certain that you yourself do not want to go through the trouble and struggle with the market while promoting something that is not backed up by a thorough plan.

Since many do not know what to elaborate or what to make better, we will list several reasons for rejecting applications. There are certain criteria our team of experts follows such as industry stage, business model, elaboration, etc.

The Overall Image

In order to back up your idea or product, we will take a look at financial statements, future projections, talk with other investors (if you have any), as well as talk to the clients, and the founders. A company has to have satisfactory results in all of the stages to be selected.

The Authenticity of the Idea/Project/Services

Besides proof that everything is according to the law in your company, we also need to recognize that your product or idea or service has a special feature which will make it competitive in the market. You have to have your own secret of success in order to stay in the market and not be replaced by a competitor who will mimic your success and take over your customers. You have to have the secret ingredient to stay defensive against your competitors.

Transparency is very important!

Your plan has to be transparent, and all of your company’s data have to be submitted with no exception. We do not review companies that fail to provide all data we need in black and white. If we are going to be partners, we need to trust you.

Cost-efficiency and Marketing

Our investments are specifically aimed at growth stimulation, so the money has to support production. Companies who do not have a marketing strategy already are probably going to focus more on the marketing campaign which could drain the investment, and that is not our goal. This means that you should be at the stage where you already have an efficient marketing strategy. You should already be through with marketing testing phases. In that way, our investment will be cost-efficient and directed towards intended purposes.

Consistent Investment Flow and Allocation

We want the companies to demonstrate that they will not run out of funds before a specified period. Therefore, we require them to issue a detailed budget plan which will indicate clearly for how long the budget will last. The plan should also include on what the money will be spent and how it will be allocated (in monthly instalments, quarterly, etc.).

Proper Measuring of Performance and Success

Founders need to know how to measure the performance and success of the company. They need to have identified key performance indicators which represent the statistics of how the company performs. Company founders need to be actively involved in the process and be aware of every factor that contributes to the success of the company.

Business vision

The application for investment should clearly indicate that there is a vision to enlarge the business 50x its size or more with backup capital. The vision needs to be clear wit identified objectives, a strategy, a business plan and all the small steps that will lead to fulfilling the vision. Company founders have to provide a detailed plan of how they see the company grow.

Cover Sufficient Markets

Companies need to be able to demonstrate that they cover markets big enough to stimulate growth. The size of the market or markets is an important feature since it indicates revenue potential.

Know Your Competition

We have already said that you need to stand out from your competitors, but you need to know how the competition performs in the market as well to be able to become the leader in your field. You need to address the market needs in an efficient way that promises to get you on the top. We appreciate if the company candidates do not ignore their competition, and acknowledge it as their equal counterpart. At the end of the day, the market is also your competition.