This presentation came from a webinar we conducted February 4, 2014, entitled The Lifecycle of an OurCrowd Investment: Following a Company's Progress from Due Diligence to Investment (and Beyond). How OurCrowd chooses which early stage companies to invest in The tools we create for investors to do their own research What successful investors can do to maximize value AFTER an investment is made How our portfolio companies receive support from us in future investment rounds

1. Lifecycle of an
OurCrowd Investment
Following a company’s progress from due diligence to
investment (and beyond)

2. Your hosts
Zack Miller, Investor Community
David Stark, Investment Associate

3. Dealflow
Creating a quality network to
get access to the highest
quality deals

4. Dealflow
How opportunities get to OurCrowd
Diligence
•
Term Sheet
Deal Launch
Monitoring
Portfolio
Support
•
Submitted Deals vs. Surgical Targeting
Great source of referrals
• OC portfolio company CEOs
• OC investors
• Other members of the investment
community

5. Dealflow
Diligence
OC’s 6 Investment Criteria
1. Great Team
2. Large market
Term Sheet
Deal Launch
3. Easy to understand
4. Traction
5. Sponsorship
Monitoring
Portfolio
Support
6. A good deal

6. Due diligence

7. Dealflow
Doing deeper diligence
•
customer calls
•
financial review
•
3rd party expert opinion (OC mentors)
•
Human resource check
•
Competitive analysis
•
Market sizing
•
More…
Diligence
Term Sheet
Deal Launch
Monitoring
Portfolio
Support

8. Term sheets
Protections and rights for
investors

9. Dealflow
Getting to terms with the term sheet
Diligence
•
While some things are subject to negotiation,
there are certain rights and protections we try
to make part of every deal:
Term Sheet
•
•
Monitoring
Portfolio
Support
•
preemptive rights
•
Deal Launch
preferred shares
anti-dilution rights
process depends on whether we lead a deal
or join a deal

10. Deal launch

11. Dealflow
Launching a deal for investors
•
Webinars
•
OurTake
•
Presentation
•
Video
•
Overview
•
Team
•
Road shows
Diligence
Term Sheet
Deal Launch
Monitoring
Portfolio
Support

12. You’ve clicked ‘I’m Interested’
— what next?
Dealflow
Diligence
Deal Launch
Monitoring
Portfolio
Support
Documentation
•
Wiring instructions
•
Term Sheet
•
Closing paperwork
•
Wire company money
* process obviously different if you’ve
invested via our Portfolio RESERVE

13. Monitoring and Support

14. Monitoring and Support
Dealflow
•
My Investments section of website
•
Quarterly reporting
•
Ongoing newsflow
•
Events/Roadshows
•
Crowdbuilding: Intros, Biz Dev, Hiring
•
Diligence
Educational events
Term Sheet
Deal Launch
Monitoring
Portfolio
Support

15. Dealflow
How OC works to maximize the
value of an investment
•
Mentorship/Board Activity
•
CEO Meetups/Education - help them to
help themselves
•
Media introduction and supportive
guidance
•
Strategic partnering
•
Diligence
Advice
Term Sheet
Deal Launch
Monitoring
Portfolio
Support

16. Subsequent rounds of
investments
Dealflow
Diligence
•
Expectation that there may
be follow-on investments
•
•
Term Sheet
•
Introduction to institutional
investors that will help
sustain company going
forward
•
Importance of participating:
preventing dilution on the
investments that matter
Deal Launch
Monitoring
Portfolio
Support
•
Signals!
Valuation step-up
New money
Institutional investors

17. 3 ways for
investors to
make money
Dividends
M&A/IPO
Liquidation

18. OurCrowd
a better way to invest in Israeli startups

19. Funding the
next generation
of successful
startups
Since February 2013,
invested in over 30 startups
!
OurCrowd and our
community of investors have
invested over $30 million in
these firms

20. Case study #1:
Sight Diagnostics
Sight Diagnostics: a
computer vision platform to
test blood faster, cheaper,
and more accurately

21. Case study #2:
Bizzabo
Software that makes event
organizers more money by
increasing engagement of
attendees

22. Any questions?
For feedback or more
information:
!
zack@ourcrowd.com
http://www.ourcrowd.com

23. Sign up for our full dealflow at
OurCrowd.com