OUR PARTNERS


Articles

Utah Entrepreneurs & Companies

Utah’s entrepreneurs are among the best in the world. Entrepreneurs from Utah have developed companies like Atari, Pixar, Adobe, Iomega, Novell, Silicon Graphics, Netscape, and WordPerfect. They have invented/patented technologies and products like the hearing aid, television, artificial arm, and the artificial heart. Utah’s Entrepreneurs are truly world class. To help Utah entrepreneurs, the Utah Fund of Funds invests in venture capital and private equity funds that will commit to develop a working relationship with Utah and visit with Utah companies and entrepreneurs.

Venture capital and private equity financing is unique in its form and structure. An investment by a venture firm represents tradeoffs. You should expect help from the VC firm. They should use their contacts and expertise to help the company grow and either be sold or go public. The VC firm is investing in a company or idea with other people’s money, not their own, and has a fiduciary responsibility to return as great a profit as possible. They will expect ownership, board positions, and some control in the company.

Submit questions to Utah Fund of Funds professionals
through our Entrepreneurs and Companies Form:

For additional info on VC and PE financing visit the links below:

What is Venture Capital and Private Equity?

What is alternative or non-traditional capital?

What are Venture Capitalists looking for?

What are Alternatives to VC financing?

How do I value my company?

How do Venture Capitalists value your business?

• • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • •
VentureCapital and Private Equity:

VC $ is considered ‘smart money’, meaning the entrepreneur gives up a lot of ownership (20-50%) in order to obtain a VC’s network and expertise. Read more: >>
Obtaining VC financing takes on average 18 months from 1st visit to closing on funds
VC typically invest in growth companies that can provide a 10x return on investment within 3-5 years
VC expect the company the invest in to exit, meaning be sold or go public within 3-5 years
For more information and further explanaition please see following useful links:

Information regarding:  Venture Capital >>
Information regarding:  Private Equity >>back to top >>

• • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • •
Alternative or non-traditional capital:

Traditional financing is usually considered bank financing that is results in debt payments secured by an asset. Of course bank financing can come in various forms but alternative or non-traditional capital is generally considered equity investments usually termed venture capital or private equity financing.

back to top >>

• • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • •
What Venture Capitalists are looking for:

Companies that will return 10x on investment over 3-5 years
Management with extensive experience or expertise
Market Size – big enough to support growth and expansion ( around $500M – $1B or more)
IP – patents or copyrights already obtained or filed
Competitive Advantage – what makes your company different and what is going to make your company succeed over others?
Useful Links: More about what VCs are looking for >>
Submit questions to Utah Fund of Funds Professionals
back to top >>

• • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • •
Business Valuation:

Useful link on how to value your business >> back to top >>

• • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • •
How Venture Capitalists value your business:

Useful link on how to value your business >> back to top >>

• • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • •
Useful Links (from entrepreneurs and companies)

Wayne Brown Institute
Technology to Market (T2M)
Utah Small Business Development Centers
Miller Business Innovation Center
Mountain West Venture Group
Utah Technology Council
An on-line deal flow tracking system for Utah venture capital activity is available from Mountain West Venture Group. The Money Tree Survey measures cash-for-equity investments by the professonal venture captal community in private emerging U.S. companies.
Utah start-up companies can attend entrepreneurial training sessions and deal forums provided by several Utah business accelerators including:

An on-line deal flow tracking system for Utah venture capital activity is available from Mountain West Venture Group.

The Money Tree Survey measures cash-for-equity investments by the professonal venture captal community in private emerging U.S. companies.