Startventure

Since investing in new ventures carries a high risk, each project must go through a careful four-stage selection. The last stage involves the signing of the contract and transferring funds for investment development. The reasons for failure might include poor management, improper planning, underestimation of the number of clients and demand for offered services, or too high costs which are disproportional to the profits. Moreover, there might be plenty of reasons beyond the control of the company like technological barriers or legal restrictions. That is why we devote much time on a close study, assessment and valuation of the project as well as market research and analysis, customer profile and the amount of capital needed to start a business. These actions minimize the risk of unprofitability or bankruptcy, and give a guarantee not only to us but also to the originators.

1. Selection

At the first stage of our cooperation we select the best ideas with the greatest chances of success in the industry. The team of our experts gathers to evaluate the submitted investment teaser, which is the most significant document at the initial stage. First of all, we verify correspondence between the objectives of the project and the investment profile of StartVenture as the further cooperation depends on it. A well-prepared teaser is a basis to form a cooperation, because it enables us to assess market potential, competitiveness and profits, which facilitate further development for the benefit of both parties.

2. Adaptation

At this stage we select a due diligence team, which collects and analyzes information about the functioning of the company. This is to help the potential investor make a decision to provide the capital. The team checks the legal and financial aspects, verifies the information about the company and workforce, especially their experience and competence, as well as technology and potential problems related with it. They also examine other areas specific to the company and its functioning. Furthermore, the investors estimate the amount of capital necessary for the company. Finally, the profitability of the investment is examined.

3. Preincubation

The preincubation stage is supposed to minimize the risk taken by the potential investor. It is also a strategic stage for the originator. At this point, the needs of the market are analyzed: the demand for the offered services, and the chances to compete with companies already existing in the industry. Our team designs a schedule, which includes all the stages of the project: the construction followed by the testing of prototypes and beta versions. At the same time we set milestones of the investment, which summarize different stages. The team first prepares a business plan and all the necessary documentation, and then plans research and development activities, which help assess the chances of success. Final negotiations and the signing of the investment agreement end this stage.

4. Investment

The ultimate stage, after going through the previous stages, is to sign the investment agreement, which guarantees funds for the project. There is no single plan of turning an idea into a functioning company, as we believe each idea requires an individual and creative approach. Instead, we are able to define a general plan of action. First of all, the structure of the company, which is based on the business plan, is created. Moreover, the so-called legal entity needs to be formed. It consists of the members of StartVenture and is responsible for the entire project and its components that is tangible and intangible assets, such as know-how, licenses or concessions. The shareholders deal with organization and management. These are the originators, members of StartVenture as well as financial and industry investors.

Our professional approach to the submitted projects allows for highly effective collaboration and unlimited progress. Each project is different and requires an individual treatment. A detailed analysis of potential problems along with early planning are a guarantee of success.