Transcript of "The Art of Cross Border Fundraising 2013"
The Art of Cross Border FinancingBy: David Solomon3 Daniel Frish Street., Tel Aviv - 64731 - Tel: +972 3 695 06 66 - Fax: +972 3 695 02 22WWW.SOLOMON-CAPITAL.COMDAVID@DSC.CO.ILSOLOMONCAPITAL
SOLOMONCAPITAL is a leading Israeli based Investment House, providing investmentbanking as well as corporate finance services that include; Fundraising, M&A, FinancialRestructuring and Business Strategic Consulting to Israeli, and International companies.David SolomonGroup CEOWith over 20 years of experience, David Solomon, is one of Israels leading experts in the field ofCorporate Finance. David, is the former Managing Partner of Cukierman & Co. Consulting Ltd, thefounder and the CEO of B-PLAN, 4HIGHTECH [Investment Bank], and Micromedic Technologies [Listedon the Tel Aviv Stock Exchange].Mr. Solomon has worked with high profile clients in the global market such as IBM, Scitex, Bezeq, BankDiscount, Bank Hapoalim, Bank Leumi, Israel Airospace Industries [IAI], QUALCOMM, Dor Energy,RAPAK and others.Mr. Solomon lectures in Courses in academic and other institutes. David is the author of various booksincluding: "From Seed to IPO", "Business Planning in the Post Bubble Era", and "Biomedical - fromResearch to Market, The Business Challenge". He has successfully worked with dozens of emergingcompanies and is accredited with over a hundred winning business plansSOLOMONCAPITAL
Main Causes for Unsuccessful Fundraising• STRATEGY - Lack of Clear strategy or wrong strategy [wrongsource, wrong timing, wrong valuation]• PREPARATION - Poor Preparation• COMMUNICATION - Poor Company/InvestorCommunication,..Losing Credibility• BAD LUCK…If you fail to plan you plan to failSOLOMONCAPITAL
The Investor PerspectiveRemember !!It is all About Risk ManagementThe Company is focusing on theOPPORTUNITY the Investor on the RISKSOLOMONCAPITAL
The ProcessPre• Reality check - Evaluation, Reality check and puttingtogether the right STORY• Strategy - Building up the best Strategy• Preparation - Be ready… Plan and PreparationOn Air• Communication• Pitch - [road show]• Negotiation123456SOLOMONCAPITAL
The Strategy• Why - How much -Where - When• Where is the Meat?• Valuation• Fundraising PlanSOLOMONCAPITAL
The Preparation• STORY - Build up the Right Story[Team, Problem/opportunity, Technology / solution, Sustainableadvantage, Business model• BE READY - Be ready for Due diligence [Balancesheet, IP, Agreements ..]• BUSINESS PLAN Prepare Wining Business Plan [ PitchPresentation, Teaser• TEAM Be sure you have the best teamSOLOMONCAPITAL
The Road Show• Be sure you know the investor agenda• Be sure you got the right excess• Be ready with 10 min pitch and ..bring with you lot ofPATIENCE and Small EGO…• Be ready for long processSOLOMONCAPITAL
The Valuation & Deal Price• Valuation [Fair Market Value ] is just the first stage for DealPricing• Valuation Model : Market price, DCF aDCF• Deal Benchmark will do the trickDeal Price : Public equity > Private EquityLeave some meat to the InvestorsSOLOMONCAPITAL
Make Sure the Numbers Add Up• Long-term financial projections• Near-term operating plan• Capital requirements• Capitalization structure over multiple rounds5.SOLOMONCAPITAL
Build Credibility• Personal Credibility• Advisers / industry experts• Strategic partners• Investors/board members• Clear Plan &Business ModelsSOLOMONCAPITAL
TOP LIES• Our projections are conservative• Our target market is $56 billion• We have no direct competition• No one else can do what we do• Our contract with Nokia will be signed next week• I’ll be happy to turn over the reins to a new CEO!SOLOMONCAPITAL
FACT!:Main Causes for Unsuccessful Fundraising are:Lack of clear STRATEGYPoor PREPARATION -Broken COMMUNICATIONBAD LUCK…Contact me today for :BUSINESS PLAN - FIRM VALUATION - FUNDRAISING - M&Adavid@dsc.co.il
YOUR GATEWAY TO SUCCESSThank YouWWW.SOLOMON-CAPITAL.COMDAVID@DSC.CO.IL
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