How Can Good Post-Investment Management Determine A Successful Exit?

How to go beyond a check as a private equity investor

Keys:

1. Investors can’t really correlate what success is with a company until it happens, but you can always help. That means going beyond the check as a consultant, an advisor, a mentor, a shoulder to cry on, or anything else a startup might need.
2. Track KPIs to share timely insights and signals with the team. This way you can connect before there’s an issue, get ahead of the problem, and have a hand in resolving it.
3. Share your passion for the product and make timely introductions to potential co-investors, customers, and employees.
4. Don’t miss out on a round. Understand cash on hand, burndown, and run rate to reach out before your investment’s next raise.
5. Be proactive about pro rata. Track your portcos’ fundraising and give yourself time to raise capital or build an SPV to fill out your pro rata allocation and take advantage of the great economics.

Photo by krakenimages on Unsplash

Now that you’ve gotten on your startups’ captables, what can you do to help your investments? How can you help your portcos find success and reach the next milestone?