will check out in detail each aspect of the plan to ensure that
management's assumptions are realistic and the information that
has been provided to us is accurate. This will often involve us
interviewing potential customers first hand, commissioning
independent technical due diligence, appraising the intellectual
property, taking references on the management team and building
an independent financial model.
Our investment decision depends on these investigations. Not
only is this an important process for us but it is also a time
for forging a sound working relationship between investee and
investor. When we make an investment we are entering a working
relationship with the company that typically lasts for 5 years
or more and it is important for all parties to get it right.
This work is written up as a detailed due diligence report and
circulated to our Investors. The management team will be
expected to present to them, answer their questions and consider
their suggestions. Given their wide-ranging experience this can
be a very constructive process.