| Investment
Strategy, Criteria And Equity or Debt Referrals
The Business
Development Group, its partners and associates have actively
invested in start-ups, turnarounds, and Intellectual Property
since 1989. Over the years our criteria has changed to meet
the changes in the investment and equity landscape. The BDG
also assists in selection and refers it clients to an extensive
list of other equity or debt institutions and investors as directed
by the client.
| If
you are seeking an investment by the BDG group there are
some things you should know in advance: |
- The
BDG investment group usually requires from 30% to 75%
ownership of the investment, typically with an average
of 51% ownership (including warrants and or options).
- BDG
Partners will often require control of the Board of
Directors (with the exception of public companies) until
certain criteria is met by the management team and or
other equity players.
- BDG
usually fronts the risk capital for due-diligence when
it deems the investment to merit the opportunity, otherwise
it may ask the investment client to reimburse some or
all-outside professional costs related to this process.
- Once
the investment is approved there is a Partner call for
capital with staged equity infusions based on performance.
- The
form of capital may be directed to preferred stock,
common stock, warrants or options or a variety of debt
instruments.
- The
BDG may arrange to place a percentage of the equity
or debt with investment firms and or individual investors
on a staged basis (certain prohibitions contained in
the securities Act of 1933 and as amended apply).
- The
BDG seeks strategic investment to add to its portfolio,
or investment, which demonstrate a yield of 30% or better
per year by the time of divestment.
- The
time an investment is held is typically: 3 to 5 years
- Other
criteria for purchase may apply: Seller financing /
assumption of debt / assumption of liabilities / joint
venture or shared investment in a NewCo.
- The
BDG is closely associated with a number of investors,
banks, factoring firms and equity players that it will
refer its client to regardless of the BDG investment
decision.
|
For more
information contact us
Note: The
Business Development Group is not an Investment Banking Firm
but may include such firms in its investment or M & A processes.
|
