This is a very insightful article. One of the reasons why the number of high-impact companies that meet “safe bet” specs is simply not increasing at the same rate as the number of fund is because many entrepreneurs that are building up their companies do so without the knowledge that is required for getting impact investments. Many entrepreneurs do not know what investors are looking for when investing (e.g. such as a clear record of financial activities, good systems etc) and hence they neglect to emphasize those elements when building the companies. One way to address that problem is to provide training to these entrepreneurs early on so that they can build their companies with these requirements in mind. It will not only help the investors but also the entrepreneurs to build better and more efficient companies.
COMMENTS
BY thandie
ON May 18, 2016 04:51 AM
This is a very insightful article. One of the reasons why the number of high-impact companies that meet “safe bet” specs is simply not increasing at the same rate as the number of fund is because many entrepreneurs that are building up their companies do so without the knowledge that is required for getting impact investments. Many entrepreneurs do not know what investors are looking for when investing (e.g. such as a clear record of financial activities, good systems etc) and hence they neglect to emphasize those elements when building the companies. One way to address that problem is to provide training to these entrepreneurs early on so that they can build their companies with these requirements in mind. It will not only help the investors but also the entrepreneurs to build better and more efficient companies.