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The Venture Capital seeker
Issues covered Financial Risk & Mitigation International Expansion Change Management
Our approach: To prepare management for VC funding by validating the business strategy and reviewing expansion plans and financial risk along the Value Chain.
By constructively challenging management’s assumptions, they were able to see that some aspects of strategy needed changing. A critical analysis of the Value Chain raised important questions to be addressed, and drew attention to a shift in the market dynamics that affected how products were ordered and paid for. This had consequence for the financial risk, which was pivotal for attracting external investors. In turn, a shift from a grant or self-funded standing to one with external investors would require a change in the management style, for which management had to make provision. International expansion was not just a question of doing more of the same in foreign markets—cultures and dynamics would differ, requiring an adaptive approach, whilst the choice of entry mode might vary from market to market.
Lesson: Incumbent management had been so close to the detail, that they had missed the wider picture. They also had not changed their style since inception, yet had moved the business to a new phase requiring a different tact. Our holistic approach was able to deliver value beyond the initial objectives, because Strategy forms the link with every other aspect of a business, such that an unclear or flawed strategy will result in unclear or flawed components. Adjustments facilitated the eventual provision of VC funding. |
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Case Study VC seeker |
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Companywise Limited |
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“Things are not always what they seem” |
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Companywise Limited |
