Investment Template

The investment template summarised below is used by London Capital Finance Limited, London Capital Research Limited and London Capital Investment Partners as criteria for the evaluation of companies. The template identifies companies that can control their destinies in these uncertain times and thereby have the likelihood of providing a good return to their investors. It also identifies companies that can establish significant businesses with moderate requirements for capital.

The template tends to favour companies in sectors such as med tech, brands and software-as-a-service, but it is not sector specific. In fact one benefit of using the template for the selection of investments is that it produces portfolios with very low correlations, which is a key mitigation of risk.

 

Experienced Management

  • A management team including industry relevant senior executives.
  • A properly structured board that capable of strategic decision-making.

 

Strong Value Proposition

  • Robust intellectual property or know-how.
  • Opportunities to exploit this IP or know-how through multiple commercial applications.
  • A business that satisfies the unmet needs of its customers in economically quantifiable terms.
  • A significant portion of recurring revenues.
  • A business model is quick to profit.

 

Corporate Development and Exit

  • The potential for scalability in global markets.
  • The prospect of corporate development via bolt on acquisitions.
  • Having from the outset a business strategy that will be attractive to trade buyers and/or investors in the public equity markets.