Ideal Founder Profile for Consortium Membership

  1. Seeking Tradable Value for Equity: The founder(s) aim to unlock tangible value from their equity shareholding for themselves, investors, and/or employees with stock options.
  2. Growth-Oriented Mindset: They have a strong desire to propel their company forward and achieve significant growth beyond being a "lifestyle" business.
  3. Embracing Business Benefits: The founder(s) recognize the advantages of being part of a larger consortium, leveraging synergies, and accessing a broader spectrum of opportunities.
  4. Capital for Growth without Debt: They seek to raise capital to fuel business expansion without relying on debt financing, enabling sustainable growth.
  5. Strategic Funding Preference: The founder(s) may not be inclined towards traditional angel funding or venture capital, or they may have faced challenges in securing external equity-based financing on favourable terms. They are open to exploring alternative avenues.
  6. Embracing Collaboration: They view collaboration with other companies as mutually beneficial, embracing opportunities for upselling and cross-selling services that complement their own offerings.
  7. Team Player Mentality: The founder(s) are willing to be part of a larger team and adapt to a new organizational structure, recognizing the value of collective expertise and shared resources.
  8. Dual Role as Employee and Shareholder: They are open to continuing in an employment role while also holding shares in the publicly listed company, aligning their interests with long-term success.
  9. Cost Optimization for Enhanced Profitability: The founder(s) are willing to re-evaluate and restructure the cost structure of their business to drive increased profitability and operational efficiency.

    10. We seek founders who embody these traits and are excited about joining our consortium, unlocking new growth horizons, and capitalizing on the collective strength of our united team.

Desirable Business Characteristics - Target Profile

Focus on Tech Services: The business predominantly operates in the realm of Tech services, encompassing Software/Technology R&D, BPM/KPO, and Engineering Services.

Small to Medium Sized Enterprises (SMEs): Our target profile includes SMEs with annual revenues up to $10 million. We recognize that this range accommodates various scenarios, including domain expert consultants, sole proprietor firms, acquihire situations, and unique startups. However, we are also open to considering members with annual revenues exceeding $10 million on a case-by-case basis.

Financial Viability: The business should demonstrate profitability even after compensating founders/promoters with market comparable salaries. A minimum net profit margin of 10% is desirable.

Funding Status: The business should have a history of bootstrapping or raising external funding, indicating a proactive approach to financial management and growth.

Sustainable Growth: A demonstrated year-over-year growth rate for at least three years is preferred. We understand that exceptional circumstances such as a pandemic may impact growth trajectories and will take such factors into account.

Venture Capital Consideration:While not essential, businesses that are not necessarily attractive for raising venture capital are of interest to us. We value enterprises with strong fundamentals and potential for sustained profitability.

Favorable Debt-to-Equity Ratio: A balanced debt-to-equity ratio is advantageous, reflecting a healthy financial structure and strategic capital management.

Margin Optimization Potential: Businesses that can enhance their margins through the utilization of low-cost labor market resources are especially appealing. This signifies an opportunity for cost optimization and improved profitability.

Succession Planning: We recognize that some businesses may not have proper succession planning in place. This presents an opportunity for collaboration within our consortium, where we can provide support and guidance for effective succession strategies.

By seeking businesses with these desirable characteristics, our consortium aims to create a dynamic and mutually beneficial ecosystem for growth, collaboration, and long-term success.

Valuation

Valuation

growth

Growth

liquidity

Liquidity

Succession planning

Succession Planning