UA-41363846-1
  • Business Development,  Investment,  Strategy

    Innovate

    The global COVID-19 pandemic is a human tragedy that is also having a growing impact on the global economy and has fundamentally changed our experiences as customers, employees, citizens and humans. Companies across the world are struggling to deal with these unprecedented changes, and it’s worth noting that many global businesses actually rose out of tough economic times. General Electric, General Motors, IBM, Disney, HP, Microsoft, FedEx, Electronic Arts, Burger King, CNN, Hyatt Hotels, AIRBNB, Groupon & WhatsApp were all launched in a recession, and Google, Salesforce, and Facebook were launched shortly before a recession. A study released by the Kaufman Foundation in 2009 found that over 50% of Fortune…

  • Business Development,  Investment,  Strategy

    Start-ups have reason to be positive!

    Introduction We are in a very weird place, social isolation, death, illness, and a declared national emergency have had an immediate impact on industries that cluster people; conferences, trade shows, airlines/cruise ships and all types of travel, the hospitality industry, sporting events, theatre and movies, restaurants and schools. Large companies are telling employees to work at home. Large retail chains are shutting down their stores. We all know local businesses that may not be around when the dust settles! If you’re about to launch a new business, or running one, this is going to be a stressful and discombobulating time. It’s also a time of huge opportunity, and that is…

  • Business Development,  Investment

    China is on the road to recovery…

    We badly need some positive news so here goes – ‘By March 24th around 75 percent of China’s workforce had returned to work, compared to February 2020, when less than 20 percent of workers were back on the job. https://mck.co/2R3fdBY via @McKinsey

  • Investment

    How to choose the right investor

    Introduction If you have built a company fast, with good revenue, margin levels and have a great profile in the market It will only be a matter of time until Private Equity investors start to hunt you out. If they do, or you are interested in some additional capital and support, I would initially suggest reading my first article entitled ‘A Primer on Private Equity’ as choosing the right investor to fund your business growth is both a critical and huge decision. The brief article below will help you to identify which firm best suits you! Key considerations Understand why: To date you have been pretty much master of your…

  • Investment

    A Primer on Private Equity

    Introduction I wrote this article as so many firms I work with have an interest in but lack much insight into how Private Equity works. Perhaps worse, some manage to convince a Private Equity firm to invest in the project and both parties then experience a painful, and in some cases adversarial, journey. It can also be an incredibly rewarding partnership if the target outcomes are clear, agreed and both parties are working closely and openly to achieve shared goals. Private Equity is capital not listed on a public exchange as it’s composed of funds and investors that directly invest in private companies, or that engage in buyouts of public…

  • Investment

    Invest and Sell – Dress to Impress!

    A Confidential Information Memorandum (CIM), also referred to as an Offering Memorandum (OM), Memorandum of Information (MOI) or the “book” is part of a sell-side M&A process. It’s typically created at the beginning of the M&A process by the Investment Bank contracted to assist the business. It provides a single point of reference for all the key information that a prospective buyer or investor would need to fully evaluate and come to a decision and its contents are broadly as follows: Overview and Investment Highlights Products and Services Strategy & Market Sales & Marketing Management Team Financial Results and Forecasts Risk Factors Appendices The CIM can be developed into both…

  • Investment

    Centaurs, Unicorns, Decacorns and Rabbits!

    With around $12 billion invested by VC’s across nearly 1,000 businesses in Q1 2016 (Source: PricewaterhouseCoopers LLP & National Venture Capital Association) alone there doesn’t appear to be any shortage of funds in the market! It is slightly lower (around 11%) than in 2015 but it’s also the ninth consecutive quarter with more than $10 billion in venture capital invested! IT, with software in particular, takes the lions share with just over $5 billion and with 50% of deals valued at $100M or more. Within that value $2.4 billion was focused entirely on Internet-Specific businesses. In second place came Life sciences and Biotech which totaled just over $3 billion in…

  • Investment

    Korolit’s forecast ‘Hot Technologies’ for 2016

    Introduction Each year we present Korolit’s strategic trends for the year ahead and this year is no exception. These are the technologies that we believe will be central to many businesses in the year ahead. Computing Everywhere Despite some initial reservations the rate of adoption for wearable devices such as smart watches and connected devices such as consumer electronics and screens will continue to accelerate. It is estimated that employee-owned smartphones and tablets used as part of bring your own device (BYOD) policies will increase to over one billion devices globally by 2018. This predicted figure, which accounts for 35% of all consumer mobile devices, is the result of increased…

  • Investment

    Chief of Unicorn Division

    Introduction Executive titles and organisational structures are always hugely topical, and also hugely challenging! Get them right and you have the foundations for a highly motivated and focused team that can achieve greatness. Get them wrong and your business can become distracted, lose focus and possibly fail! Titles In recent years we have seen some bizarre executive titles. Google’s Larry Page, Sergey Brin and Eric Schmidt assigned Vint Cerf as their ‘Chief Internet Evangelist’. The title caused a bit of confusion for Cerf on a trip to Russia when his hosts asked if he believed in God as they understood the term “evangelist” to be a religious preacher! Buffer Co-founders…

  • Investment

    Choosing the right VC firm is key to your success!

    Introduction In recent years there have been some incredible success stories for start-ups that have had an accelerated growth into very large and profitable businesses, including Snapchat, Uber, Whatsapp. Even well known global businesses such as Facebook, LinkedIn, Box and Dropbox are still relatively new! The vision and skills of the entrepreneurs that created and built them are both celebrated and highly envied. The venture capitalists that had the incredible insight to invest heavily in them have cultivated a reputation of having a 6th sense in identifying the next success story. It reads like a compelling story of bold investments and awesome returns. The reality is a bit different! More…

  • Investment

    A Good Time To Invest?

    Introduction According to the Enterprise Research Centre small businesses in the UK are growing at their fastest rate in seven years with the UK’s population of small and medium-sized enterprises (SMEs) growing at its fastest rate of growth since the financial crisis in 2008. Since the financial and economic crisis in 2008, around 13 million jobs were lost in the UK, according to ERC figures. However, net private sector job creation turned positive last year, as 13.4 million jobs have been created in the last seven years with more than 600,000 new jobs added in 2014 alone! IT is also going through tremendous growth with global spending on IaaS expected…

  • Investment

    Choosing the right investor for your business

    Introduction The ‘Prequin Global Private Equity & Venture Capital Report’ recorded that last year 994 Private Equity funds managed an estimated $3.8 trillion of corporate assets, with another $1.2 trillion of ‘Dry Powder’ waiting to be spent! It also highlighted that 2014 saw over $400 billion invested and over $500 billion of successful exits. That’s up from previous years. If you are considering getting some investment into your business It would certainly appear to be a great time to do it! The type of funding vehicle and the associated terms will vary depending on whether you are looking for funding for a start-up, or to help accelerate the growth of a…

  • Business Development,  Investment,  Strategy

    Will my business be the next Unicorn?

    Introduction The IT market has spawned some hugely successful businesses such as Facebook, Uber, Snapchat, and LinkedIn. With the memory of the last recession now fast fading IT is once again centre stage with investors keen to find the next success story. There are more start-ups being launched every year and more investment being made available. Company valuations are also on the rise with more than 30 technology companies in Europe now worth more than $1bn (£590m). Europe actually compares well to the US, which produced 39 billion-dollar companies between 2003 and 2013. These high growth startups are being referred to, as “Unicorns” as they are extremely rare! The 30…

  • Investment

    Time to sell/invest

    Introduction Perhaps you have spent the last few years working hard to build your business and are now looking to sell it to relax and spend some quality time with the family. Alternatively you might be looking to attract some investment to support an expansion, acquisition or diversification. Whatever the reason you will need to determine the present and projected future values for your business. Historically the calculation was a fairy straightforward one based on turnover, costs and projected growth but today there are a number of ways to come to a value. Regardless of the mechanism adopted it still holds broadly true that any business is worth is precisely…

  • Investment

    Investors & Data Rooms

    Introduction Were enjoying a period of expanding markets and high levels of corporate activity with many companies looking to take-on investment and acquire other businesses. In almost all case the first step will be a Due Diligence (DD) exercise to re-assure the investor that their money will be wisely invested and spent. DD exercises are highly demanding and it makes sense to be as prepared as possible in advance. This article provides an overview of the market, the approach to DD and the types of data you will need to consider. A few numbers… First a few statistics to set the scene: Global merger and acquisition activity hit $3.5 trillion…

  • Investment

    Company Due Diligence

    Introduction Many businesses are now looking for investment to help them grow at an accelerated rate. A key pre-requisite before and funding is released is to conduct a Due Diligence exercise to ensure a good return on investment. The Due Diligence exercise typically involves a combination of specialists who will look into every nook and cranny of your business and will conclude in a report to highlight key risks, provide mitigation plans and to re-assure the banks that their investment is in safe hands! It can be pretty daunting for the management team to find both their functions and themselves under intense levels of scrutiny for an extended period of…