What investors look for

What Investors Look For

Rose Lewis- Pembridge Partners [email protected]

What Do We Look For?

BUSINESSPLAN

CORETEAM

BOARDSECURED

IPCASHFLOW

STRONGRETURNS

CONTROLRATCHETS TO INCENTIVISE

GROWTHMARKET

QUALITY INVESTORS

SCALABILITYUSPMONETIZATION

MODELPROPRIETARYDISTRIBUTION

BOARDROLE

•Lets make it easier for you

Ideas are commodities• Its all about execution

–Team–Strategy–100 day plan

• Don’t be stuck on an idea –Have you thought through the rest of the idea–Means you will want to be 1st to market!!

Customers are kingClear targeted products/services that solve real pain

Real validation of your market is vital

Find your competition Not just companies

Consumer behaviour

InertiaHabit Other products

Team Team Team

Investors do not fund business plans or great ideas

Ability to execute

Sector experience

“I need £1m to start with ”

• Sure way to dilution – now and in the future

• Start with smaller amounts and use the cash to further validate your proposition

• Increases your valuation each time by setting clear inflection points

Investors are not risk takers

• The higher the risk – the higher the % you will have to give away

• Your job is to prove you have mitigated the risk

Other things we don’t want to hear

• I have a killer product – the customer will come

• We will reach our customer by viral marketing

• I will use partners to sell my product

Knowing when yes means no

• VC’s will put you off rather than saying they don’t want to invest

Adhere to the fundamentals

• Validate the market

• Assemble a great team

• Develop a profitable business model

• Execute as perfectly as possible

Keep it simple – tell them what they want to know and

no more!– What’s the Opportunity – Team – Product/Market– Traction– How much money – Exit