Factors That Attract Venture Capitals to New Ventures
-
Upload
eliza-noordin -
Category
Economy & Finance
-
view
2.710 -
download
1
description
Transcript of Factors That Attract Venture Capitals to New Ventures
•Source of funding •What do VCs do?•VC landscape in Malaysia•What do we look for•What attracts us
WHAT WILL I COVER
STAGES OF A COMPANY
Source Government Private or Semi-Private High Net Worth Individuals
Equity No equity involved Equity of the company Equity of the company
Goal Completion of IP creation, commercialisation
Return$ Return$ & Exploring new ventures
Duration Short term (<1 year)
3-5 years Unknown, usually long term
Payback Only if defaulted Upon exit or as mutually agreed
Mutually agreed
Reporting Milestone or Reimbursement basisprovider not involved in managing company
Depends on the stage of the companyrepresentation on the Board of Director
Loose
Coaching Not inclusive Inclusive through investment
Depends on angel’s available time and interest
VENTURE CAPITAL IN MALAYSIA
Source : 06-09 SC Annual Reports
VC INVESTMENT IN MALAYSIA
RM (Billion)
Source : 06-09 SC Annual Reports
INVESTMENT BY COMPANY STAGE
Source : 06-09 SC Annual Reports
VC INVESTMENT IN THE US
Source : venturedeal.com
• have a cohesive management team
• Focus in making revenue and profit, or at least proof that customers BUY your idea or product
• Manage your cash flow
• HIRE staffs with RELEVANT skill sets
• Get a sales man
• Get a good financial person – keep good books
• Get a GOOD & balanced Board of Directors
• Get mentor(s) and/or coaches
• Grants are nice, but don’t become grantpreneurs
• Stay focus to achieve your planned goals
Knowing your needs…
• Why do you need funding?
• What is the stage of your company ?
• What are your seeking for?
• Where is your market potential?
• Equity?
Knowing what’s available
• Funds , loans and grants
• Fund provider background & appetite
• What do investors want?
• Venture Capital• Active participation• Experience in working with
Tech companies• Network and global linkages
Areas of interests :• Software and IT, Internet,
Wireless & Mobility, High Growth Technology, Electronics, Green Tech
• Start-up to Pre-IPO stages
Chok Kwee Bee : Managing Director
CK Chong: Senior Vice President
Eliza Noordin : Vice President