One of the problems that businesses face when they acquire other companies is that the executives of those companies will often depart. This can be really detrimental since they represent the leadership of that company, which means that the transition will often not be as smooth.
Finding an investor (or investors) for your startup may seem like a coup, but you should take a moment before you jump at the opportunity. Not all investors are equal - and working with the wrong investor could spell doom for your business. To make sure that you choose to work with the right investor - especially if you have several different investors lined up - you need to do your due diligence. The following are a few tips on performing due diligence on your potential investors:
Even when you have the right combination of talent and ideas, a small business needs capital if it wants to fully realize its potential. Presenting to investors in person is the best way of getting them to take the leap of faith to give you the funds you need, so you'll want an informative and useful pitch deck to give your presenter all the help that they can get. Looking through the pitch decks for successful tech startups, like LinkedIn and BuzzFeed, illuminates the factors that drive investors to commit.
When it comes to storage, businesses typically have two options to choose from: online document storage or on-site storage. Of course, there is no universal solution for all businesses, as each storage type has its own unique advantages and potential drawbacks. In general, however, it's been found that secure online document storage is a better option for most businesses than on-site storage—and for a number of reasons.
If your company has made it to the point that it has to embark upon a Series B fundraising round to take growth to the next level, then the future is likely looking bright for the business. Fundraising becomes increasingly onerous as a company progresses along the sequence of rounds, from seed and angel investments to Series A and then on to Series B. At this juncture, the level of scrutiny intensifies, as the primary focus is on whether a company has the capacity to maintain the momentum that got it to that point in the first place. Even if a company manages to impress prospective investors and lures them into taking the next steps, surviving the due diligence investigation may or may not go as planned. In order to assess whether your company is ready for a Series B fundraising round and will be able to emerge the due diligence process unscathed, it is important to first ponder these questions: