The Tyler Group | What We Look For | RedGage
The Tyler Group | What We Look For | RedGage
We prefer start-up companies as they offer excellent returns on growth with less risk than seed stage companies. What We Look For By targeting these companies we have achieved some excellent returns on our investments. Throughout the years startup and middle market companies have exceeded our expectations. Occasionally we do invest in seed-stage companies who are looking for investments of up to $5 million if the company shows potential. Industry Potential In any investment we undertake, it is important that there is the right amount of investment potential. As a rule, we like to look at companies with mass market products, healthcare technology, green energy, patented technologies and IT solutions. We like to see a strong board of directors and management team along with a strong brand. We examine the company to see what the potential is to take the company into a global market to become market leaders. We look at the structure of the company and assess whether it can rapidly scale up to fulfill accelerated growth. If we feel there are weak spots in a corporation that is restraining its growth, we can then provide the skill and talent to help the company to achieve its potential. Adding Value We understand that to add value to a company we need to create tangible assets in which you can assign a value. In each company we partner with we undertake the following: Operations - We help systematise operations to ensure everything runs smoothly and efficiently. We measure each stage of operations so the management team can identify weaknesses and act to ensure best operations performance. By doing this, we not only improve growth capacity but also form an operation that works in harmony. New Markets - Some of the best growth opportunities are found by targeting new emerging markets. Asia has been and is one of the most important emerging markets today. Over the last decade, we have dedicated a division in our company just to build and form relationships in the Asian market. We have one of the strongest partnership networks in Asia. This is becoming one of the fastest growing areas in our company providing some exciting opportunities for our clients. Partnership With Management It is important that companies that we partner have a strong management team; this is the key to the success of all companies that we partner. When we partner a team we like to ensure that everyone involved have an interest in what the aims are, we do this by structuring equity reward schemes that represent the talent and responsibility of the management team member. The aim of offering equity in the company is to ensure that the management teams are focused and want success for the company. We work with the CEO of each of our portfolio companies to decide the best equity distribution plan, it will be the CEO’s responsibility to execute the plan by allocating the equity among his team. Process Working with the CEO - We believe in working closely with the CEO of our portfolio companies, if needed we may even put one of our members into a company to assist the CEO. This will only happen if the CEO is busy and really needs help with any legal, banking, or negotiation issues. It is important to understand that we are not there to undermine the CEO, it is just that sometimes the CEO can be busy with issues outside of the scope of his management team. Due Diligence Due diligence happens before any investment. This will involve an in-depth consultation with the CEO and his management team. We take a look at the current finances of the company along with all future projections. The time allowed for the due diligence process will depend on the company and the size of investment required.