No 8 Ventures Management Ltd has established a proposal review process that will allow the company to invest quickly and efficiently once we have gotten to know the people involved and can agree on a structure.
1. Company check list – is it worth approaching us?
- Is it a technology company?
- Is there a large international market?
- Do you have something which gives you a sustainable edge in this market?
- Do you want to build a large business?
- Are you prepared to build your management team to support a large business?
- Do you want an active investment partner who helps you grow the business?
2. Pre-investment phase
Before investing, we need to:
- Review your business plan.
- Meet with you and build a relationship with the key stakeholders and understand your overall objectives.
- Become conversant with the company’s business.
- Agree on valuation issues and an outline of the deal.
- Validate the assumptions supporting the opportunity through a due-diligence process.
- Complete the transaction, including a Subscription Agreement and an ongoing Shareholders Agreement.
3. Post-investment phase
- At least one of our principals will be actively involved as a board member throughout the investment period.
- We will work with you in whatever way we can to help you achieve your full potential. Most important is likely to be assistance in building the team. Also, we have extensive contacts, the ability to help structure partnership deals, knowledge of corporate governance and many years of general business experience.
- Within 3 to 5 years we will assist with a listing, a trade sale, management buy-out or other exit mechanism which will realise on our investment. Our goal is to take each company through to a listing – anywhere in the world, but we realise that a trade sale is also a possibility.
Your business plan should include:
- A summary – no more than 3 pages please.
- What is the business/proposed business?
- What is the market for this product or service?
- Who are the competitors?
- What gives you a competitive edge in international markets?
- How can you sustain this advantage?
- Who are the people involved?
- What do you plan to do in the next year – in detail, 3-5 years in outline.
- What is your budget?
- What are the indicative returns you expect?
- What are the key risks?
There are many guides to preparing business plans available. There is no one standard we prefer.