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SemCap Startup FinancingMobile Monday Brussels Spring Day 2011
2 Various stages in financing a project IRR: 50% to 70% IRR: 20% to 30% IRR: 8% to 12% Sales > €5 mi. B Capital required Capital Capital Markets Strategic partners €1Bs PEs Equity Gap €100Ms VCs €10Ms Invests €1Ms Risk Level BAs €100ks FF&F €10ks A Institutional Expansion Seeds Acceleration Development Stage
3 10 tips to successfully finance your project Start small but think BIG … but with enough capital … but not with too much capital Focus on cash (generation+ and spending-) Talk to a lot of experts Use whatever local help (Gov, University, …) you can find Be picky when you select your (financial) partners Beware of debt before you have stable revenues Get creative Forget about all the tips you were given, just do it!
4 Where is Semcap palying? IRR: 50% to 70% IRR: 20% to 30% IRR: 8% to 12% B Capital required Capital Capital Markets Strategic partners €1Bs PEs Equity Gap €100Ms VCs €10Ms Invests €1Ms Risk Level BAs €100ks FF&F €10ks A Institutional Expansion Seeds Acceleration Development Stage
Corporate Finance  ECM ,[object Object]
Debt Financing

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SEMCAP: VC for Mobile in Belgium

  • 1. SemCap Startup FinancingMobile Monday Brussels Spring Day 2011
  • 2. 2 Various stages in financing a project IRR: 50% to 70% IRR: 20% to 30% IRR: 8% to 12% Sales > €5 mi. B Capital required Capital Capital Markets Strategic partners €1Bs PEs Equity Gap €100Ms VCs €10Ms Invests €1Ms Risk Level BAs €100ks FF&F €10ks A Institutional Expansion Seeds Acceleration Development Stage
  • 3. 3 10 tips to successfully finance your project Start small but think BIG … but with enough capital … but not with too much capital Focus on cash (generation+ and spending-) Talk to a lot of experts Use whatever local help (Gov, University, …) you can find Be picky when you select your (financial) partners Beware of debt before you have stable revenues Get creative Forget about all the tips you were given, just do it!
  • 4. 4 Where is Semcap palying? IRR: 50% to 70% IRR: 20% to 30% IRR: 8% to 12% B Capital required Capital Capital Markets Strategic partners €1Bs PEs Equity Gap €100Ms VCs €10Ms Invests €1Ms Risk Level BAs €100ks FF&F €10ks A Institutional Expansion Seeds Acceleration Development Stage
  • 5.
  • 9.
  • 14.
  • 16.
  • 17. Select 2 to 3 projects per year
  • 18.

Editor's Notes

  1. BUSINESS CREATION IS THE JOURNEY FROM A TO B (IDEA TO SUCCESSFULL EXIT)FF&FBasINVEST: Regional, Universities, Special Funds (Early Stage like BAMS)VCs: From local VCs to InternationalPEs: larger VCsCapital Markets: IPOs ou strategic partners trade outSome matrix:IRR: 50% means project value doubbles every 21 months and 70% every 16 monthsSales: A VC doesn’t invest if a large market access is not proven
  2. don’t do it for the small effectDon’t do it with too much financial struggle, you may not be productive and there will be no resource to take it over from youThe US model is to start with the millions. I would prefer to end with the millions. Too much capital makes you too bold and far too distant from day to day realities of business creationCASH CASH CASH, that is what matters. Clients first but also to the extend resonable, spend less. Be carefull also not to be too stingyNetworking is essential but don’t waste time and money on extensive market researchs. Disruptive technologies are creating new markets from scratch and can not be discovered by market studies.Talk to Bruno, it is your best chance;-) Regions are keen to stimulate economical activity, take advantage of it. But it is a maze and you will need a guide. Talk to Bruno or myself.Quality investor is essential (added value and personal fit)Debt is a good thing but very dangerous when there is no cashflowYou need to be open mind about how you are going to do it, the results is what matters…Tips are fine but at the end of the day, it doesn’t matter. Just go for it.