Foundation Ventures Proprietary Overview
Foundation Ventures employs FundsProcureTM, its proprietary four phase methodology which is specifically designed to:
- Help the Company position itself for optimal investor impact
- Compress the time required to complete a transaction by having most, if not all, or the Company's due diligence material analyzed and ready for investor scrutiny prior to any institutional investor presentations
- Present the Company to a carefully selected set of institutional investors
- Obtain the best terms and the highest possible valuation for the Company
Phase I: Investor Package Review - This includes a review of the Company's market positioning, technology, products, services, business plan, sales model, financial model, operational model, and staffing. This phase also includes an analysis of the Compay's intellectual property, background checks on key management, and if applicable, a review of key customers and alpha or beta versions of any development stage products or services. Where potential shortcomings are identified, Foundation Ventures works with the Company to understand and mitigate them in order to minimize their effect on the capital raising process. Our Advisory Board members are often involved in this step.
In addition, Foundation Ventures prepares an investor summary for institutional investors, and prepares senior management for in-person institutional investor presentations.
Phase II: Institutional Investor Selection and Test Marketing - Foundation Ventures identifies likely institutional investors based on a combination of our institutional investor contacts and our extensive institutional invest database, utilizing parameters such as company size, stage of development, previous investments, market segment, location and capital requirements and optimizes the investor package based on test market feedback. This group may also include strategic investors that operate in the industry served by the Company's products or services. This is another area in which our Advisory Board members can become involved and add value to the process.
Phase III: Institutional Investor Presentations - Foundation Ventures contacts each institutional investor it has selected in Phase II and arranges investor presentations where appropriate. In addition, Foundation Ventures will attend each investor presentation as the Company's financial advisor and manage all necessary follow up with each interested institutional investor.
Phase IV: Term Sheets and Syndicate Development - Foundation Ventures will work with each institutional investor to get as many term sheets as possible and then to assist and advise the Company on selecting the best offer. Foundation Ventures will also work with the lead investor selected by the Company to develop the syndicate were necessary and manage all logistics to ensure an orderly closing.