| In order to find a worthy project to invest in, a | | | | Giuseppe Zocco, partner of Index Ventures Fund |
| venture capital funds investor must look over an | | | | Do not argue about who you could sell your business |
| enormous amount of applications. Investors should | | | | if they do not accept your offer. This will only turn |
| understand exactly what they can get back from the | | | | away potential investors because of your aggressive |
| money they invest while working in conjunction with | | | | approach. They already know their other other |
| their entrepreneurial partner. Many times it becomes | | | | investors out there, just as there are other business |
| clear in the first conversation what the investor | | | | ventures to invest in. |
| stand to gain or loose. Forbes questioned the five | | | | Also discuss possible plans for research and |
| partners of the world's leading venture capital fund to | | | | development pending the expansion of the business |
| get a better understanding of what is and what is | | | | model in the future. Investors are interested to |
| not worth mentioning when presenting a presentation | | | | invest in a company that focuses on development, |
| to a potential investor. Here is what they said: | | | | this ensures they will remain innovative and |
| The top 3 books entrepreneurs seeking investors | | | | competitive in the field despite actual sales. |
| choose: | | | | Alexander Galitsky, managing partner of venture fund |
| Igor Taber, director of Intel Capital's in the CIS | | | | Almaz Capital Partners |
| Do not attempt to provide accurate financial | | | | Show how the originality of the business model |
| forecasts, as in reality no one can predict what will | | | | relates to it's competitors. It is important to |
| be the company's actual revenue within three years. | | | | demonstrate it's competitive advantage not only in |
| It is much more important to show what | | | | technical terms, but also in terms of business |
| assumptions you use to justify, and predict earnings | | | | efficiency. Show both the pro and cons to your |
| and costs in the business model. | | | | business in comparison to it's top 5 competitors. |
| Stating that the company needs a $ 20 million | | | | Choose competitors of similar size companies do not |
| investment, but not revealing the key assumptions in | | | | have to go on the warpath with huge corporations |
| your financial model, will interest the few people to | | | | such as Microsoft or Google. They have more money |
| your project. The is one of the main reasons | | | | and more employees than you do, the investor |
| potential investors are turned away from | | | | realizes this. In you attempt to challenge such large |
| entrepreneurs and their new business investments. | | | | companies the investor will be reluctant in to |
| Jeremy Levine, a partner of the venture fund | | | | accepting such a challenge. |
| Bessemer Venture Partners | | | | Esther Dyson, president of the venture fund |
| During the presentation, do not dwell on the "Privacy" | | | | EDventure Holdings |
| of your investment content. Believe me, the potential | | | | "Venture investors are not just looking for a place to |
| benefits of the free exchange of ideas outweigh the | | | | invest money. We take the company and help it |
| risk that someone will steal your ideas. | | | | grow. So for me it is important that what the |
| Ideas are cheap, their embodiment in life - much | | | | company does, it was interesting to me. In the U.S., |
| more expensive. | | | | are projects related to health in Russia range of my |
| Check to see whether the venture fund invests in a | | | | interests is wider. I really like to invest in companies |
| competing design or innovation that makes it unique | | | | that focus on solving real problems, whether it is |
| comparison to the competion. | | | | logistics or health, and offer people new opportunities. |
| It is better that you presented to the investor that | | | | I need to understand what happened to me this |
| you display all the qualities of a trustworthy person, | | | | company will be able to achieve more than without |
| this can be the guarantor that the investor will not | | | | me. |
| disappointed in investing in you and your venture. | | | | |