Sourcing of investment opportunities marks the beginning of the venture capital investment process, and it is important to secure a rich and continuous pipeline. Azione’s emphasis is on proactive deal sourcing, and opportunities are targeted according to the requirements of clients.
Our unique approach to deal origination includes:
- Screening of industry for attractive opportunities
- Identification of opportunities and contact initiation
- Innovative and proactive approaches to deal sourcing
By getting a foot early, our clients can pre-empt other investors to better quality deals. This allows time for our clients to evaluate the opportunities, develop relationships with the entrepreneurs, and help shape the business strategies of the start-ups. All these help to enhance the quality of the deals that are pursued.
Deal Flow Networks
Azione helps clients set up regular contact with key industry players, venture capital funds, technology and market experts, technology incubators and research labs, and university technology transfer offices.
Azione helps clients to develop dedicated sourcing teams to support the work of their investment professionals. Alternatives or complements to this approach are outsourced origination and advisor networks.
Online Public Relations
The establishment of online communications helps to expand referral networks and increase deal flow. Azione helps clients leverage social media to inform and educate the public on their investment approaches and to increase their perceived value and expertise.
Azione also focuses on the preparation stages prior to deal negotiation:
The screening process saves unproductive work on deals that would be rejected for reasons ranging from investment strategy and portfolio mix, the stage of their fund cycle, macro or micro pressures, internal management issues, a defaulting limited partner, and so on.
A systematic approach is required to ensure efficient and effective due diligence work, and to keep within the time constraints.