2. enModus Profile
- enModus is a Smarthome technology company
- A team of 5, we were founded in January 2010
- We have developed Wattwave, a low bit rate powerline protocol
- Enables high performing network of ultra low cost smartplugs
- Wattwave acts as a home backbone for smarthome services
services include
home energy……………….energy monitoring
home control……………….appliance remote control
home alert………………….text based alerts
home comfort………………TRV control
home safe…………………. security, smoke, fire
home care………………….activity, vital signs
- Our initial customers are utility companies
www.enmodus.com
3. Andy Heaton Profile
- 22 years in blue chip semiconductor companies in UK and US
- Mainly Operational, Engineering and General Management roles
- 5 years in startups:
- Latterly, Managing Director of Air Semiconductor
- Formed enModus in January 2010
- Ideally suited to run a startup??
www.enmodus.com
4. Our journey to the starting line
I will not:
- Offer generic advice on what VC’s and angels are looking for
- Talk in detail about what should be in the business plan
- Let you know of a short cut solution to raising money
- Talk about funding gaps, difficulty in raising seed money etc
- Suggest that the way we succeeded is even the best way
I will:
- Tell you how we did it
- Tell you what we could have done better
- Tell you how we found our investor
- Share the timeline for our process of investment
- Talk about my observations while going through the process
www.enmodus.com
5. A Very Personal Journey
- It’s not about work anymore – it’s personal!
- The journey can be very, very lonely
- The highest of highs and the lowest of lows
- I knew a lot of stuff, I learnt a hell of a lot more
- Need to let go of what’s not working
- Leave your ego at the door and go back to school if necessary
- Ask for help, stupid!
www.enmodus.com
6. Preparation for Seed Investment – enModus scorecard
- Read the books, go to the classes
Preparation for
- Build the network enModus seed
investment started
- Understand the market in Q12007!
- Build the business model and plan
- tell a story that resonates
- compelling and believable
- do the maths, with sensitivity analysis
- etc etc etc
- assumptions, assumptions, assumptions
- Understand investment attractiveness (mathematical)
- Understand investment attractiveness (emotional)
-macro and micro
- Minimize the investor risk
www.enmodus.com
7. How we found our prospective investors
- My personal network of colleagues, co-workers, friends………
- Networking via local events and support organisations:
- 26 VC’s, VCT’s, angel networks, angels
- Categorised by: - fund size
- portfolio
- focus
- investment stage speciality
- Split into tier 1, tier 2, tier 3
- Every one of them approached via an introduction (except one!)
www.enmodus.com
8. enModus investment timeline
£1m
Investment process
3 x initial meetings
2 x half day biz plan tear downs
3rd party biz plan tear down
1:1’s with team
Personal references for team
Commercial references
3rd party technical due diligence
Dark Days
Investment committee meeting
Legal due diligence
Hit the road!
Dozens of phone calls
Numerous meetings
Formed company 9 biz plan revisions
Built team
Defined solution architecture
Modelling and simulation
Submitted patents
iNets grants
Investment preparation
Market research
Technology
Patent searches
2007 - 2009 Jan - Jun 2010 Jul - Oct 2010 Nov Dec 2010 - May 2011
www.enmodus.com
9. What do I know now, that I didn’t know before?
- The business books are more or less correct
- The real importance of mentors
- If I hadn’t listened to the feedback from the 25, I wouldn’t have snagged the 1
- …..but don’t believe all the feedback
- A lot more about myself: I can sell, and I can inspire trust
- Don’t get carried away, it’s just the start!
www.enmodus.com
10. How did we meet Andromeda Capital?
www.enmodus.com
