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San Diego, CA (PRWEB) March 04, 2015
OGS Capital has developed an extensive network of angel investors, venture capitalists, private equity funds, and corporate strategic investors who are interested in investing in entrepreneurial enterprises.
As the economy continues to strengthen, entrepreneurship is growing at a rapid rate, creating a need for capital for seed or startup money, or for existing business growth. OGS Capital is pleased to announce it has developed an even larger network of private and corporate investors ready to invest in entrepreneurs with innovative business ideas and solid business plans. Recent reports on 2014 statistics show all types of investors remain active, including strategic investors, private equity funds, angel investors, and venture capitalists, supporting the experience of OGS Capital as it breaks the $1.5 billion mark in capital raising for startups and SMEs.
“Software was the largest investment category in 2013 and 2014 and that trend is expected to continue in 2015,” says Alex Silensky, Founder and CEO of OGS Capital, “Other major industries of high investor interest include health care and medical devices, retail, biotech, IT services, and energy.” Making a good match between the entrepreneur and investor is a strategically sound approach for successfully getting needed capital. The following quoted statistics are for the U.S., but investors are funding businesses around the world.
- Angel Investor – Angel investors are individuals who directly invest personal funds into entrepreneurial businesses expected to grow quickly in value. In return, the angel investor gets stock in the company which is a startup or early stage enterprise. The Center for Venture Research at the Peter T. Paul College of Business and Economics at the University of New Hampshire (UNH) reports angel investing has grown in the U.S. for the last five years through the second quarter of 2014, the latest statistics made available. There were 143,140 angel investors and an average deal size of $332,120, primarily for seed and early stage financing (Center for Venture Research, UNH Media Relations Press Release, November 18, 2014). Growth in angel investing is expected to accelerate in 2015.
- Venture Capitalists – Venture capitalist firms provide capital they raised from others in return for a large percentage of the business and the expectation of a large return. They tend to fund startups and young businesses looking for money to fuel growth. Per the MoneyTreeTM Report, published through a partnership of the National Venture Capital Association and PricewaterhouseCoopers and using Thomson Reuters data, over $48.3 billion was invested in 4,356 deals by venture capitalists in 2014 (National Venture Capital Association, Press Release, January 16, 2015). Venture capital investing is expected to remain strong in 2015.
- Private equity funds – Private equity investors invest money in businesses that are privately held or public companies going private. They are mostly interested in mature businesses with a proven track record. The Private Equity Growth Capital Council reported $523 billion in U.S. private equity investments in 2014, up 4 percent over 2013 (Private Equity Growth Capital Council, Private Equity Trends, accessed at http://www.pegcc.org/wordpress/wp-content/uploads/2014-Q4-PE-Trends.pdf). OGS Capital projects similar growth in 2015.
- Strategic investor – Also called corporate venture capital, corporations will invest in startups and early stage businesses when goals match and the corporation believes it can take advantage of innovation in products and services, or talent. The corporation may directly invest in another business or will set up a fund that invests in other companies that meet strategic needs. According to the National Venture Capital Association and the MonteyTreeTM Report from Pricewaterhouse Coopers LLP, corporate strategic investors invested over $5.4 billion in 775 deals in the U.S. (National Venture Capital Association, Press Release, January 28, 2015).
“It is important that the business plan specifically address investor requirements,” says Alex Silensky, Founder and CEO of OGS Capital, “The angel investor is investing in the entrepreneur’s capabilities and credibility first and then the accurate valuation of what it will take to turn an idea into a rapid-growth business. Venture capitalists strongly consider the potential for developing a large market and whether there is a strong management team. Private equity investors will look closely at liquidity, cash flow, the potential for growth, and how performance can be improved through improvements made with funding. Strategic investors are highly interested in the targeted market because they are hoping to gain strategic benefits from the investments.“
OGS Capital can provide expert assistance with developing a customized business plan that serves as a road map for success and is attractive to the type of investors most likely to fund the business. Consultants have wide industry experience and access to a growing network of investor contacts. Each unique business plan addresses entrepreneurial needs and investor requirements. OGS Capital has offices in the United States, the United Kingdom, and Australia and has successfully served clients from more than 30 countries.
For more information or to submit an online contact form, please visit https://www.ogscapital.com/.