An Introduction to the World of Venture Capitalism

A brief overview of what the VC world looks like and the different players involved

Transcript

1. @pasanpr Pasan Premaratne An Introduction to the World of Venture Capitalism
4. Entrepreneur Venture Capitalist Lawyer
5. @pasanpr Entrepreneur •Main player •Always be involved!!!!
6. @pasanpr Lawyer •Lawyer should understand VC financing
7. @pasanpr Venture Capitalist •Venture capital firms are quite complicated •Organizational structure varies from company to company
8. @pasanpr Venture Capitalist
9. Managing Director (MD)/General Partner (GP) Principals/Directors Associates Analysts
10. @pasanpr Venture Capitalist •Venture partners •Entrepreneurs in residence
11. @pasanpr Angel Investors •Seed Stage •Accredited investors •Super angels •Micro VC
12. @pasanpr Raising Money •The Amount •Homework •Finding the right VC •Working with a lead VC •Closing
13. @pasanpr The Amount •Be ready with an amount •Don’t focus on financial models •Don’t ask for more than you need
14. @pasanpr Homework •Short description •Executive summary •Presentation The Minimum
15. @pasanpr Homework •Business Plan •30 page document •Market details •Product information •Customer segments and target •Strategy •Team •Financials
16. @pasanpr Homework •Detailed Financial Models •Assumptions underlying revenue •Cash consumption •Managing expenses
17. @pasanpr Homework •Demo •Emotional interest •Easier to explain •Straight to the point
18. @pasanpr Finding the right VC •Introductions and networking •Understand the VC •Do your homework
19. @pasanpr Finding the right VC
20. @pasanpr Lead VC •Goal: Find a lead VC •Gauging interest •Deciphering the clues
21. @pasanpr Closing the deal •Signing the term sheet •Signing any other documents •Cash!
22. Questions? @pasanpr