Minuteman Advisory Partners is an outsourced corporate development consulting firm working with VC-backed technology companies

1. Outsourced Corporate Development
Value acceleration for technology companies
and their investors
Minuteman Advisory Partners, LLC

2. Brad Hafer/Minuteman Advisory Partners introduction
More than 20 years of technology, business and consulting experience. He
has held executive operating roles with three tech companies leading to
successful exits, including
• VP, Corporate Development at MatrixOne, sold to Dassault Systemes
(~$400 million)
• VP, Marketing & Business Development at Synchronicity Software, sold
to MatrixOne (~$18 million)
• VP, Corporate Development at SupplierMarket.com, sold to Ariba (~$1
billion)
Bradford G. Hafer
Managing Director, Functional responsibilities spanning strategy development, marketing,
Minuteman Advisory Partners, LLC product management, business development, M&A and post-merger
integration.
(781) 856-7978 Previously, seven years with global consultancy A.T. Kearney and started
(781) 275-5104 (fax) his career with IBM.
brad@minuteman-advisory.com MBA from the Kellogg School of Management (Northwestern University)
www.minuteman-advisory.com
and a B.A. in Engineering from Lafayette College
Serves on the advisory boards of several technology start-ups
Representative Minuteman Advisory Partners Clients Previous Experience
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3. Minuteman Advisory Partners - Overview
“Outsourced Corporate Development”
• Market Focus
− VC-backed portfolio companies
− Domain experience in High-tech, Internet and Digital Media
− Emerging coverage in renewable energy/cleantech
• Core Capabilities
− Strategy development
− Aligning company assets with potential acquirers’ needs
− Operational assessment and improvement
− Partnership development and deal execution
− Corporate Development/M&A
− Post-merger integration
− Business plan development and venture capital raise outreach
• Strong relationships
− Investors - Venture Capital and Growth Equity. Several repeat client engagements with blue
chip firms
− Strategic Buyers - Major technology and media companies
− Intermediaries – Investment Banks, Law Firms, Accounting Firms
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4. Targeting emerging VC-backed portfolio companies
Portfolio company performance distribution
% of
Companies Emerging/
in portfolio
Mid-Performing
Dogs Stars
0-1x 2-3x 5-10x+
Current Expected Return
• Stars capture the bulk of VC’s attention while Dogs tend to be written off early
• Emerging/Mid-performers, representing the bulk of a portfolio, have unclear future
exit values. They can have substantial impact on fund IRR if even modest
improvements are gained or reasonable exits occur sooner
• A focus on the large number of mid-performers to drive turnaround, growth and
attractive, near-to-mid term exits
• Additionally, strengthen the value of Stars by improving the alignment of product, go-
to-market, partnership and exit strategies
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5. Mid-performing companies face common challenges
Portfolio company symptoms…. … and resulting investor thinking
 Slow growth, or even flat, via organic  “Why do we continue to miss each
means quarter?”
 Consistently missing revenue targets with  “I’m not sure we have a clear idea of the
lengthening sales cycles end-game here.”
 Inability to increase margins with scale  “The 90 day plan I requested is not
 Technology-focused, rather than market- materializing.”
focused team  “Why are our competitors being acquired
 Misaligned product and go-to-market and we haven’t gotten a call?”
strategies; not linked to an exit plan  “I don’t have enough visibility into
 Lack skills at building strategic management thinking between board
relationships or driving exits meetings.”
 Realizing that there is a smaller TAM than  “We’re going to have to make a leadership
originally expected change.”
 Lack of clear leadership and/or  “I don’t have enough time to get
disagreement among management team operational on this one.”
 Competition from new entrants and  “I think I’d rather spend time on my clear
platform players winners”
 “What might this company sell for today?”
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6. Potential value levers may differ for each situation
• Value extracted via combining levers for each portfolio situation
− Sales channel critical mass and effectiveness
− Partnership leverage
− Tuck-in acquisitions
− Re-tooled product portfolio
− Leverage offshore R&D
− G & A, Marketing cost reduction
− Operational improvement
− Critical mass and profitability
− Appropriate capitalization
• Position for exit at appropriate time to maximize value
− Drive immediate sale if potential returns do not warrant continued investment
− Strategically align with one or more targeted would-be acquirers.
− Continue to drive internal value while market matures and until consolidation
begins
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7. Relationships and contacts with key partners, strategic
investors and/or buyers across high tech and media
Marketing, Media & Advertising Enterprise Software/IT Infrastructure Technical Software/PLM
Communications/Networking Identity & Security Energy/Cleantech
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8. Engagement model for portfolio companies and investors
1. Internal Company Assessment (consulting fee)
 Internal review of management, product, assets, operations
 External market and competitive overview
 Business model and financial review
 Identify gaps and areas to drive operational improvement
2. Strategy Development (consulting fee)
 Identification of the optimal target market
 Development of growth strategy via new market entry, improved positioning, partnerships or acquisitions
 Build vs. partner vs. buy analysis
 Determination of ideal channel or solution partners to drive revenue and who may be likely acquirers
 Re-tool product portfolio to better meet acquirers needs
 Development of strategic alternatives and optimal time for exit
3. Outsourced Business Development (monthly retainer + success fee/equity)
 Identification and prioritization of business development targets for product, channel or strategic
partnerships
 Complete pursuit-to-close execution
 Leverage executive relationships across high-tech and media strategic partners/investors/acquirers
 Alignment of partnership development with eventual exit strategy
4. Outsourced Corporate Development (monthly retainer + success fee/equity)
 Strategy development, pitch deck refinement and process coordination
 Capital raise
 Buy and Sell-side M&A
 Coordination of investment banker selection and process management
 Post merger integration
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