HOW CAN I SHARE MY BUSINESS PLAN WITH VENTECH?
First, send an executive summary to firstname.lastname@example.org, or directly to one of the team members. We will respond with an initial opinion within 10-15 days.
IN WHAT INDUSTRIES DOES VENTECH INVEST?
We focus on the digital economy and Information technology. We invest in companies throughout their growth.
WHAT SETS YOU APART FROM OTHER TEAMS?
We have a horizontal “Partnership” structure based on real teamwork.
Our biggest added value lies in our understanding of international growth strategies.
WHAT CAN YOU DO FOR OUR BUSINESS?
Together, our team’s professional investors offer extensive international investment and operational experience.
We dedicate at least 50% of our time to active director role, and offer solid assistance to help businesses meet their organizational (recruitment of key personnel), business development (introduction to major groups) and financial (syndication and refinancing) needs.
DO YOU ONLY INVEST DURING THE FIRST ROUNDS?
Based on the team’s abilities and experience, our position is mainly to invest starting with the first round of financing, after an initial seed investment round subscribed by business angels, a seed fund, or an incubator, if applicable.
However, we also invest in the event of a second or even a third round if we have a role to play in the company’s development, and relatedly, if there is reasonable potential for increased value.
WHAT ARE YOUR INVESTMENT CRITERIA?
The following 7 criteria apply regardless of the sector:
- The CEO’s background and skillset;
- The quality of the management team;
- The size and potential of the target market;
- All barriers to entry (e.g. IP);
- The competitive value proposition;
- The capital valuation and capital structure including liquidity;
- The future liquidity.
WHAT IS YOUR DECISION-MAKING PROCESS?
All decisions are made collectively and quickly by the group.
In practice, there are three stages:
- After reading your business plan executive summary, an initial expression of interest is confirmed by at least one preliminary meeting with an associate. Due diligence is then conducted;
- A few weeks later, our entire team attends a meeting arranged by that associate. A decision is made in the following days and, if positive, formalized by a letter of intent stipulating the valuation, how the relationship will move forward, additional due diligence required, and the timeline until the transaction payment;
- Our team makes a final decision after completing due diligence and finalizing the main terms of negotiation.
WHAT IS YOUR PROCESSING TIME?
This can range from 2 to 6 months, depending on the project’s maturity. We often have to move a project forward even before we invest, either for strategy or positioning, or to build a founding team.
We make every effort to move very quickly when we are headed toward a negative answer, and to suggest alternative solutions whenever possible.
WILL YOU SIGN CONFIDENTIALITY AGREEMENTS?
Given the very large number of projects we receive, we rarely sign confidentiality agreements, but we do exercise the utmost respect for the confidentiality of the information you share with us.
HOW MUCH DO YOU INVEST?
We invest between €5M and €10M per company, with an initial investment between €2M and €5M.
ARE YOU ALWAYS THE LEAD INVESTOR?
We are in about 80% of the cases in which we invest in France and are involved in follow-up even if we are not historically the lead investor. Conversely, we invite active investors to participate in our operations.
DO YOU TAKE ON DIRECTOR POSITIONS?
We always require seat on the board of directors when we are the lead investor.
For the sake of efficiency, we favor boards with a limited number of directors, managers, investors, and additional external personalities.
WHAT MUST I INCLUDE IN MY BUSINESS PLAN?
Your business plan must respond to the following key questions:
- Who are your team members, and what makes their experience unique and crucial to the project’s success?
- What product or service will you develop?
- What is your target market, and how do you see yourself within that market?
- Who are your clients, and what is your value proposition?
- Who are your competitors?
- What competitive advantages do you have?
-What do you think your company will look like when it comes to fruition?
- What are the key steps in its development?
- How much funding are you requesting, and what “milestones” do you hope to achieve with it?