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Investment Preferences

While all venture funds invest, how they invest varies.  Given how iSelect raises funds, we have some key criteria we typically follow:

Investment Criteria

  • Lead Investor: Introduced by a trusted partner including venture funds, angel groups and family offices willing to lead the deal
  • Previous Investment: Previously raised $250k or more of investment
  • Stage: Late Seed or Series A
  • Deal: Preferred equity or a convertible debt (convertible into preferred equity)
  • Type: Prefer a 506(c) structure, general solicitation, but will also do 506(b)
  • Traction: Demonstrates meaningful early traction via customer orders, customer R&D investment, NIH grants, etc.
  • HQ: Company is located near key industry talent and customers
  • Plan: Clear milestones and path to follow on capital and exit
  • Valuation: Pre-money valuation less than $20M
  • Industry: Preference for healthcare (Biotech, Medtech, Devices), agriculture, and energy; less interested in B2C

Market Sectors and Industry

iSelect’s primary investment focus is Agriculture, Health Care, and Energy.  We also have invested in enterprise software, materials, and financial services.

Caveats

iSelect is focused on closing the shortfall of investment capital nationwide.  We syndicate institutional capital into venture stage opportunities.  iSelect has invested in later-stage transactions.  The criteria for these investments vary depending on the investment opportunity.  We are always willing to listen.  Because of our criteria and investment preferences, in the end, we typically only investing 2.5% of the companies we meet.

 

If you are earlier than the above criteria, we want to stay in touch and engaged so we can line things up when you are ready.  We try to keep good notes on every company we meet so we can map out your capital needs well into the future.