1. The
5
Ps
to
Finding
Capital
and
A4rac7ng
Investors
To
Your
Business
Presenta(on
to
Business
Exchange
Club
Wednesday,
September
29,
2010
Tony
Chan
–
Founder
and
CEO

2. A
Quick
Survey
– WHO
has
wriKen
a
business
plan?
– WHO
has
pitched
to
investors?
– WHO
has
successfully
raised
funds
?
– 1
in
10
business
plans
wriKen
ever
gets
funded
• FACT:
RAISING
FUNDS
IS
A
DAUNTING
TASK

3. Quick
Survey
Part
2
Why
Raise
Funds?
a) I
don’t
need
to
risk
or
put
up
my
own
capital
b) I
need
to
pay
off
my
debts
and
the
company’s
bills.
If
not,
we
will
be
broke
soon.
c) I
want
to
grow
my
business
and
take
it
to
the
next
level.
I
will
reach
profitability
and
return
an
investment
for
investors.
RAISE
MONEY
FOR
THE
RIGHT
REASONS

4. Why
Investors
Invest
?
1. I
like
you,
I
believe
in
your
dream
and
vision
2. I
like
your
product
and
I
can
contribute
to
your
business
with
my
experience…
3. I
think
you
will
make
a
return
on
my
money
and
a
big
fat
profit
ALL
THE
ABOVE
ARE
TRUE
(THINK
LIKE
THE
INVESTOR)

5. The
5P’s
of
Finding
Capital
and
AKrac(ng
Investors
to
your
business
1. Planning
4. Presenta(on
2. Promo(on
5. People
3. Placement
Tony
Chan
Steve
Bruce

6. About
me
15
years
in
Financial
Industry
Tony
Chan
•
• 2
years
with
Thomson
Financial
Reuters
• 4
years
in
UBS
/
SBC
Warburg
• 3
start-­‐ups
during
the
dot
com
period.
Raised
around
USD$15m
Founder
and
CEO,
Asia
Pacific
DealFlow
Ltd
• 4
years
in
offshore
fiduciary
–
offshore
banking
Zetland
Financial
Group
General
Manager,
Corporate
Finance
• MBA
–Interna(onal
Management
and
Investments
• Interests
–
Entrepreneur
Club,
start-­‐
ups
and
early
stage
businesses.

7. P1:
Planning
• Its
in
your
head
–
get
it
on
paper
• Summarize
–
sketch
out
your
idea
• Discuss,
share,
find
advice
• Refine
the
idea
• Business
Plan
not
always
necessary
• Financials
–
es(mate
your
income
and
expenses
• When
to
start
fund-­‐raising?

8. Rounds
of
corporate
funding
Size
of
Size
of
funding
funding
STARTUP
EARLY
STAGE
HIGH
GROWTH
stage
of
growth

9. P1:
Planning
(business
plan)
Typical
Business
Plan
APDealFlow
web
2.0
Outline:
template
1. Execu(ve
summary
1. Exec
Summary
2. Product
and
services
2. Template
business
3. Market
and
industry
plan
(leg)
overview
3. Pictures
4. Management
team
4. Videos
5. Financials
5. PowerPoint
6. Related
informa(on
6. Document
sharing

10. P2:
Promo(on
–
Who
is
your
target
investor?
Angel
Investors
Venture
Capital
and
Private
Equity
SIZE
OF
FUNDING
Friends
and
Family
Bank
Loans
/
SME
grants
and
schemes
LEVEL
OF
DIFFICULTY

11. Promo(on
:
Using
APDealFlow

12. Promo(on
–
APDealFlow
deal
content
• Standardised
template
format
for
deals
• Media
rich
(
pictures,
videos,
PowerPoint)
• Promo7on
–
pushing
deals
to
investors
and
Agents
• Distribu7on
–
can
promote
deals
via
LinkedIn,
Facebook
user
groups
• Security
–
informa(on
can
be
locked
and
requires
request
and
approve

13. Promo(on
–
AP
DealFLow
assists
in
Planning,
Promo(on
and
Placement
OTHER
INVESTEE
AGENTS
COMPANIES
AGENT
AGENT’S
CLIENTS
VC
and
PRIVATE
ANGEL
EQUITY
INVESTORS

14. Promo(on
–
Using
the
APDealFlow
network
Intermediary
Investors
PULLING
DEALS
PUSHING
TO
INVESTORS
Intermediary
AGENT
Intermediary
PRIVATE
EQUITY

15. (P3)
Placement
–
closing
a
deal
• What
is
a
fund-­‐raising
–
a
placement
of
shares
• Start
with
a
term
sheet
–
on
your
terms
• Nego(ate
with
calm,
be
professional
• Use
Agents
to
nego(ate
sensi(ve
issues
• Strive
to
find
common
ground
• Stay
away
from
Brinksmanship
• Agree
and
s(ck
to
your
agreement

16. Placement
–
steps
in
closing
a
deal
Steps
in
closing
a
deal
ADVICE
1.
Ini(al
contact
2.
First
formal
mee(ng
GET
HELP
3.
Exchange
of
informa(on
4.
Informal
due
diligence
5.
Term
sheet
nego(ated
6.
Investor
quality
review
Get
an
AGENT
7.
Term
sheet
issued
– Lawyer
8.
Investment
approval
9.
Formal
due
diligence
– Accountant
10.
Formal
approval
– Corporate
Finance
11.
Legal
documenta(on
12.
CLOSING
(
Raising
Angel
inves8ng
and
corporate
finance,
Dr
Tom
Makcaskill)

17. Promo(on
–
why
use
Agents
• PLANNING
-­‐
Deals
can
be
done
professionally
• PROMOTION
-­‐
Finding
Investors
for
yoou
• PLACEMENT
–
Nego(a(ng
and
closing
the
deal
• BONUS
–
Most
agents
work
on
success
basis

18. WARNING
-­‐
***ADVERTISEMENT
**
• My
other
AGENT
hat
• Zetland
Fiduciary
Group
•
Corporate
Finance
&
Investments
• Venture
capital
to
pre-­‐IPO
deals
• Deal-­‐range
from
USD2-­‐5m
• Capabili(es
–
– Offshore
structuring
– Fund-­‐raising
– Deal
documenta(on
– Post
Deal
–
trust
and
fidicuary

19. Freebies
1. Free
Ebook,
Raising
Angel
inves(ng
and
corporate
finance,
Dr
Tom
Makcaskill).
Please
find
from
my
site
www.apdealflow.com
2.
Video
on
How
to
pitching
to
VCs
,
David
Rose,
Pitching
Coach
and
VCs,
www.ted.com
3.
Free
Lis7ng
on
APDealFlow
worth
USD$200.
Contact
me.
tonyc@apdealflow.com

20. Finally
-­‐
OTHER
Ps
in
fund-­‐raising
Passion
Product
Personality
Performance
Practice
Personal networks
Persistence

21. Final
thoughts
• Fund
raising
is
very
difficult
to
succeed
• It
gets
easier
the
more
you
prac(ce
it
• APDealFlow
is
a
plarorm
to
PLAN
and
PROMOTE
• Use
Agents
to
do
your
PLACEMENT
• Its
about
You
and
your
business
Go
forth,
create,
build
and
prosper

22. A
bit
of
fun
–
WALL
STREET
IS
GREED
GOOD
?

23. The
5P’s
of
Finding
Capital
and
AKrac(ng
Investors
to
your
business
1. Planning
4. Presenta(on
2. Promo(on
5. People
3. Placement
Tony
Chan
Steve
Bruce