Private Equity & Corporate Venture

Private Equity & Corporate Venture

Regardless of the valuable insight from quantitate empirical research about venture capital, it cannot tell to individual investors how to do Venture Investing well. Based on our experience we have identified a set of best practices to help Venture Capitalists to realize their full potential of venture investing while preserving several risks. The leaders of business units play a vital role in venture investment commitment and bestow inputs to investment decisions. 


We have defined below underlined Operating Principles:


  • Defining the investment parameters 
  • Establishing Corporate Venture Capital (CVC) strategies 
  • Researching the industries, they target to invest (look beyond industry borders by specified geographical regions) 
  • Quantify risk tolerance levels by considering the cost of doing business and attractive Return on Equity (ROE)
  • Estimating duration of investment commitment (short, medium and long-run investing options)
  • Construct Budgeting schemes
  • Establish Management control panel
  • Organize corporate governance
  • Hire (and fire) relevant professional staff
  • Make entrepreneurial decisions such as to identify and evaluate business opportunities under uncertainty
  • Establish Administrative units by purchasing and constructing Fixed Assets and PPE (Property Plant and Equipment)
  • Prevent inherent business risks by a strong Risk management culture
  • Build a strong deal network
  • Knowledge transfer to keep innovation information flowing, establish R&D and innovation process management by ensuring innovation develops with investment targets.