Often the process to appraise potential investments begins with a careful assessment of market requirements and characteristics.
Market requirements and characteristics:
- Product features, functions, and benefits
- Risks associated with technology development, market conditioning, sales
distribution, and management development
- Track records of the founders
- Resources required to mature the concept into a self-sustaining company
We consider the following criteria to be among the most important when evaluating investment opportunities:
Qualified Management: An experienced, dedicated management team with a sense of urgency. In those cases where skills or experience are missing, we can provide help. We have significant experience with executive searches for all levels of management, both for open and replacement positions.
Strong Business Fundamentals: The opportunity should be in a large market characterized by rapid, high-growth. A company's products or services should be proprietary, providing early competitive barriers to entry.
Capital Requirements: All potential investments should be based upon reasonable projections of financial performance. Additional capital requirements, both from equity and debt, or through generation of internal positive cash flow, are analyzed to contemplate and plan an orderly capital formation process.
Exit Strategy: The ability to liquidate an ownership position in an investment should be well understood. Entrepreneurs and investors should share the same strategic goals to be successful.
Join Us: Entrepreneur In Residence Program
We encourage highly talented entrepreneurs to join us at Allegis for 6-12 month periods to participate with us in our venture funding of new portfolio companies. EIR's are active in screening candidates, advising us on technology feasibility, and assessing new market opportunities.
Try to achieve the following in your presentation:
The Audience: Investors not customers
- Build Interest: How do investors win?
- Build Credibility: Domain Knowledge
- Be Open & Transparent
- Show your Passion & Vision
- Be someone people want to be involved with
What we look for:
- Experienced Management: Vision & Leadership
- Financeable: CEO can fundraise
- Compelling Market: A new idea
- Sense of Urgency: Desire, energy, adaptability, flexibility
- Strategic Focus: Focus, Focus, Focus
- Protectable Business: "Secret sauce"
- Exit Strategy: How do investors make money?
VCs should add value:
- Get the best VC you can find
- Instant Credibility
- They should have a good rolodex and share it with you
- They should be coaches, not players
Allegis Capital and Entrepreneurs Foundation
Allegis Capital is proud to partner with Entrepreneurs Foundation, helping emerging companies to incorporate community involvement and philanthropy into their culture and values. Allegis Capital partners volunteer as EF board members and advocates, and many Allegis Capital portfolio companies are current EF member companies, including Apprion, IronPort Systems, LGC Wireless, and PacketDesign. Allegis Capital is dedicated to integrating community programs into companies from day one, and in 2006 earned EF's Venture Capital Award of the year.
Entrepreneurs Foundation is a non-profit organization dedicated to engaging high growth companies in corporate citizenship and philanthropic efforts so that new and leveraged resources are generated for community benefit. Since inception, Entrepreneurs Foundation's 150 participating companies have created foundations and programs that are making a positive impact in the social sector. To date, EF and its participating companies have engaged 10,000 employees who have contributed more than $5 million to support 140+ non profit and social benefit organizations, worldwide. For more information about Entrepreneurs Foundation, visit www.efbayarea.org.