How Investors Evaluate A Company

Investors listen to pitches constantly and only a small portion of startups get funding. The investors will determine if the start-up meets their strategic and financial goals and if the company fits into their current portfolio of investments. VC funds are targeting at least an overall 20% annual return on the fund which is significantly higher than other investment vehicles such as stocks and bonds.

Investors typically perform due diligence before funding new opportunities, and they often view the fact that a new company is working with OCR positively in this analysis. For example, OCR’s involvement may provide an extra measure of reassurance to investors that IP rights are being properly secured by the company. (Bear in mind, however, that OCR will carefully evaluate the patentability and commercial potential of an invention before embarking on the costly and lengthy process of obtaining patent protection.)

Here are Top Ten Techniques for Startup Valuation from Martin Zwilling, CEO and Cofounder of Startup Professionals.