Submission Guidelines
Before submitting your business plan for consideration, take a look at the criteria we consider when we evaluate a potential investment.
Basic Criteria
The scope of the investments our managed funds make is as follows:
Geography
- Canada
Preferred Industries
- Pharmaceuticals
- Medical Devices
- Software
- Communications and Networking
- Hardware, Electronic Devices
- Internet - Related
- Alternative Energy
- Advanced Materials
- Environmental Technologies
- Cleantech
Key Criteria
Some important elements to a successful investment include:
- A business plan that is well thought out and realistic.
- A solid management group with relevant business experience.
- A well-defined niche in a large market having rapid growth.
- An innovative product or service with a sustainable competitive advantage.
- Key management and employees with a vested interest in the venture's success by way of profit-sharing, equity interest or both.
- A willingness to take on a new equity partner and to work with GrowthWorks during the growth phase of the business.
- A shared vision of liquidity with all other shareholders.
Investment Guidelines
GrowthWorks managed funds make investments with the following guidelines in mind:
Size of Investment
The initial investment in any company will range from $100,000 to $5 million. In exceptional cases below or above these amounts will be considered.
Industry Diversification
Investments will cover a broad range of businesses in a variety of industries.
Patient Capital
Longer term (3 - 6 year) investments are preferred.
Partners & Syndicates
GrowthWorks will partner with other investment companies providing they share the same investment philosophy toward the business.
Board Representation
GrowthWorks requires participation on the Board of Directors but does not ordinarily seek control of a business. Investments typically result in a GrowthWorks managed fund owning a 10-45% minority share position depending on the valuation and amount of capital sought.
Value Added
In addition to equity capital, GrowthWorks also provides management expertise, advice and counseling, as well as a network of resources useful to young companies encountering the challenges involved in building a business. GrowthWorks does not get involved in the day-to-day activities of a business.
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