Due Dilligence

By: Solomon Brenner, member of Keiretsu Forum Mid-Atlantic and Managing Director at Startup2angel

This post originally appeared on Startup2angel.

The guru of due diligence reports, the man known for thorough research and reconnaissance at Kieretsu is Howard Lubert. At one point, he took a look at some of his investments and compared them to others that were more successful and he found one consistent pattern that determined whether a venture was successful or not that went beyond the due diligence report. It came down to people:

By: Elizabeth Usovicz, Principal of WhiteSpace Consulting, as part of a series she writes for ACA aimed at entrepreneurs, "Your Pitch is Just the Beginning."  

On the reality television series “Shark Tank,” an estimated 50,000 entrepreneurs compete for 125 on-air slots each season. While the pitch dynamics and deal-making are high energy, there’s a reason that the next step in the funding process is not on the show. According T.J. Hale of Shark Tank Podcast, due diligence craters an estimated two- thirds of the on-air deals.

By: Adam Quinton, Founder/CEO Lucas Point Ventures and ACA member (Astia Angel)

This post originally appeared on LinkedIn

When early stage investors conduct their due diligence we all have our own set of criteria and benchmarks, some objective. Many not!  This can be rather frustrating for founders because a lot of the dialog with investors, as a result, is an inefficient one on one dialog.

But before getting to the details of due diligence that matter to "us" what is the appropriate stance for investors to adopt as they undertake due diligence? What you might call a philosophy of due diligence. As you will see for me that means treating the real risks takers with respect. (Hint: investor risks are, in the round, pretty modest.)

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