Deal Process for Venture Capital Investment in new or
(For acquisitions please just pick up the phone
to talk to us.)
Initial Phone Call
On your first contact with us we will have
an informal chat and determine in the first instance
whether we can help you. If we think your project meets
our criteria for investment then we will request that
you send your business plan.
We will require a detailed business plan. There
are links on our web site to information about drafting
an effective business plan. In addition we have included
a proposal document on our web site which you can complete.
Having reviewed your business plan we will
have a number of questions which we would like you to
answer. Having received and considered your answers
we will invite you to come and meet us..
Having considered your initial proposal we will either
decline it or invite you to present to us at our offices.
The meeting will be attended by your project leader
and should be attended by as many of your team as required
to give us a full picture of every aspect of your company.
The meeting will usually last for between one and two
hours. Following the meeting we will let you know within
10 days whether we would like to proceed with your opportunity.
Initial due diligence assessment and deal term
During this stage we will be looking at all aspects
of your company. You will need to provide detailed financial,
market and competitor information. This process can
take between 4 -10 weeks. Towards the end of this process
we will begin formulating deal terms and we will provide
you with a heads of agreement or term sheet outlining
the headlines terms of a deal.
Legals and due diligence
Once deal terms are agreed both parties will instruct
solicitors to undertake the legal work required to complete
the deal. Further commercial and financial due diligence
will take place using external industry experts. This
stage can take between 4-8 weeks.
At completion of our investment, cash will be invested
into your company in exchange for the agreed combination
of shares, loans, options etc. It is likely that there
will be retention imposed subject to the fulfilment
of certain post completion conditions.
We will typically appoint a Non-Executive Director to
the board of the company to provide support and advice
to the executive directors. Where required we may also
appoint additional management support. Regular reports
on business and financial progress - including cashflow
projections, management accounts should be provided
to ensure we are abreast of your current position in
Since we are investing our own money we are not constrained
by fixed exit time frames. Our objective is to maximise
our capital gain over time therefore we may have no
fixed exit strategy in place at the time of our initial
investment. We will be seeking to work in partnership
with you and to assist your company in identifying and
maximising the optimal exit routes available.
Time taken for investment process
The time taken to progress from initial contact to funds
draw down is between 3-4 months. It is largely based
upon the availability of information required. The progress
can be maximised by employing professional experienced
advisors from an early stage.