Change Better. We support companies to structurally improve their business…
Is your company interested how to run a successful capital raising process? Based on our experience, we share a structured approach to successfully raise capital.
Plan slowly. It will take a while and its harder than you think. Handpick your project team wisely.
Be (over) prepared. Update your in-depth business plan with strategic roadmap. Take the investors point of view. Sell the bigger picture and be crisp, clear and precise about the addressable market(s), product/ market fit, value proposition, the company and future outlook.
Build a comprehensive integrated financial model based upon business drivers. Develop a management case scenario and run a more conservative scenario and stress/ worst case. What is the total capital need in the coming years? Determine the optimal capital structure - debt versus equity instruments. Consolidate the sales pitch, business plan and output financial model into an information memorandum.
Create a Strategic Capital Raising Plan. Prepare a (short/ long) list of capital providers (driven by time horizon, sector focus and investment criteria). Approach them with only a one pager the so-called teaser to attract attention. Have them sign the non disclosure agreement. Organize management presentations, share the info memo with indicative term sheet and make capital providers compete.
Negotiate & Due Diligence
Review and negotiate documentation, receive commitment and start the due diligence process.
Close the deal
Sign documentation and celebrate together.
…with our head in the sky and feet in the mud