Investment Criteria of Business Angels and VC Firms

Business angels and VC firms use somewhat different criteria for business plan evaluation and  Investment selection.  >>>

The things venture capital investors look for in a start-up are:

• Key personnel: people / → management that can → get the job done

• A unique brilliant idea or technology that can be protected  and  → commercialized  >>>

• A well-prepared, focused  and scalable → business plan that provides clear direction  >>>

• Effective and scalable → business model

• A large, rapidly expanding market

• Market drivers

• Product / → innovative value

• A strategy that has a strong → sustainable competitive advantage   >>>

• Commercial proof of concept

• → High returns on investment

• The financial statements and price per share   >>>

• Investment exit routes

• VC specific factors such as pre-existing portfolio and personal likes and dislikes of of the company leaders  >>>

• Corporate investors look for → synergy with their existing business.  >>>