1. Spotting, gathering and analyzing extensive information of a specific category and the tendencies in the market, especially for new companies.
2. Analysis of company’s components (pubic or private) with reference to existing and potential investors. Analysis of supporting and opponent factors among the investors.
3. Gathering information about venture capitals (VC) and prospective VC partners.
- Analyzing the VC’s understanding of the client’s business: Background and experience of the VC’s professionals, due diligence and the quality of other portfolio investments
- Level of interest and commitment to the client and “shared vision” in it’s growth and development
- Willingness to commit time, effort and resources
The quality, depth and diversity of professional staff and services network as well as its relevant industry contacts and perceived influence
- Appreciation of the number and extent of other board commitments of the designated representatives – their intelligence, flexibility, responsiveness, openness, honesty and the VC’s passion for contributing to it’s portfolio companies’ success
- The “patience” of money – prior record of dealing with portfolio companies that have experienced difficulties
- Ability and willingness to provide capital in future rounds of financing
- Ability to attract other VCs and sophisticated funding sources
- Ability to assist in the recruitment of needed talent and personnel
- Experience and track records in assisting companies at the same stage of development
- The valuation and specific investment terms the VC is requiring as a condition to its investment.