Investment Process

INVESTMENT PROCESS STEPS

When a business plan is received it will be reviewed by at least one member of the investment advisory group. The business plan is assessed to determine its compatibility with our investment criteria, market focus, and overall portfolio configuration.

Relatively few business plans make it past this initial qualification process, but those that do undergo a higher level of scrutiny and due diligence as the investment and group members analyze the company and its market and industry. At this stage the company's management will be invited to present their plan to members of our investment and advisory group. Preliminary meetings help us assess the company's level of human, organizational, technical, financial, and marketing resources. If InnoVest is sufficiently interested after the initial review and presentation, we may then present a broad outline of the type of investment we would consider making.

Provided the parties continue to be interested in arranging an investment, we will begin an in-depth operational and financial due diligence of the company. After concluding our analysis, we may then be in a position to present and negotiate a term sheet specifically addressing issues such as the size of our investment, the investment instrument, the ownership percentage of the company it would represent, voting and control provisions and board representation.

Alfa Investments investment would be conditioned upon satisfactory conclusion of due diligence and final approval by the InnoVest Group Investment Committee. After approval by our Investment Committee, legal documentation commences, due diligence concludes, and, presuming everything is in order, funding and collaboration occurs.

Page updated

Report abuse