Capital Advisory and Management Consulting

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Capital Advisory and Management Consulting

• Venture Finance Solutions
• CAPITAL ADVISORY
• Consulting Services

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• REPRESENTATIVE ENGAGEMENTS
• Industries of Expertise
• High-Tech/Software/Internet
• Renewable Energy
• Independent Film
• Real Estate
• Biotech
• Stages of Business Cycle
• Formation
• Startup
• Early Stage
• Development
• Pre-Revenue or Revenue

Confidential Proprietary The information
contained in this Power Point Presentation is
confidential and proprietary to JCF Consulting,
Inc.
3

• REPRESENTATIVE ENGAGEMENTS
• Proven entrepreneur or experienced management
  with financial expertise gap
• Significant market opportunity with clear value
  proposition
• Defensible intellectual property or
  first-to-market competitive advantage
• Revenue, pricing model, and exit strategy
  identified yet may not be perfected
• Unable to effectively raise significant capital
  or afford a FT CFO or dedicated financial advisor
  

Confidential Proprietary The information
contained in this Power Point Presentation is
confidential and proprietary to JCF Consulting,
Inc.
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• TYPICAL BUSINESS CYCLE AND VENTURE FINANCE
  STARTUP

Development Pre-Revenue
Concept Formation
Revenue Pre-Breakeven
Profitable Growth
Sale Exit
Venture Lifecycle
Capital Source
Founders Friends Family
Angels Limited VCs
Angels Venture Capitalists
VCs Private Equity
Private Equity iBanks
Confidential Proprietary The information
contained in this Power Point Presentation is
confidential and proprietary to JCF Consulting,
Inc.
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• DIFFICULTIES IN VENTURE FINANCE
• Friends Family
• Typically fund small rounds of seed to very early
  stage development concepts
• Commonly unavailable or undesirable for high risk
  early stage ventures with unproven business
  models
• Large rounds with deep pocket liquid investors
  are unlikely or very difficult to close without
  significant dilution
• Can ruin relationships in unsuccessful ventures
  that are unable to raise significant capital
  beyond friends and family to reach breakeven,
  profitability or exit

Confidential Proprietary The information
contained in this Power Point Presentation is
confidential and proprietary to JCF Consulting,
Inc.
6

• DIFFICULTIES IN VENTURE FINANCE
• Angel Capital Groups
• Mostly local or regionally-based investment
  groups that are highly unstructured
• Typically invest as individuals not as a group
  that may require a road show to multiple
  locations
• Only a few have a dedicated managed fund to
  invest
• Some require upfront fees to present without a
  firm commitment upon screening committee review
• Most prefer referrals from venture associates or
  known colleagues within a network of
  relationships that know what they look for and
  invest in for deal flow

Confidential Proprietary The information
contained in this Power Point Presentation is
confidential and proprietary to JCF Consulting,
Inc.
7

• DIFFICULTIES IN VENTURE FINANCE
• Venture Capital Funds
• Pension funds with significant unfunded
  liabilities coupled with retirement of baby
  boomer generation has placed heavy emphasis on
  larger investment deals
• Substantial increase in number of funds
  concentrated on investment rounds of 5M or more
• Substantial decrease of funds focusing on seed or
  early stage rounds of 5M or less
• Can be very expensive and predatory if not
  represented by an experienced financial advisor
• Most prefer referrals from venture associates or
  known colleagues within a network of
  relationships that know what they look for and
  invest in for deal flow

Confidential Proprietary The information
contained in this Power Point Presentation is
confidential and proprietary to JCF Consulting,
Inc.
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• BENEFITS OF WORKING WITH JCF
• CAPITAL ADVISORY CONSULTING
• Hands-on experienced Business Development, CFO
  advisors and consultants with prior
  entrepreneurial and venture capital experience in
  early stage ventures from raising capital to MA
  or IPO
• Extensive financial network reach to over 900
  angel groups, 20,000 accredited investors, 750
  family offices, and 4,300 venture capital and
  private equity firms to solicit deal flow
  investment or co-investment opportunities
• Targeted funding strategies and campaigns
  developed for each client with scalable pricing
  to enable early stage companies on limited
  operating budgets not able or ready to afford FT
  or dedicated resources

Confidential Proprietary The information
contained in this Power Point Presentation is
confidential and proprietary to JCF Consulting,
Inc.
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• CAPITAL ADVISORY SOLUTIONS
• FOUR STAGE PROCESS OVER 3-6 MONTHS
• STAGE 1 JCF Review of Existing Deal Documents
• Collect review all existing documentation
• (Executive Summary, Business Plan, PPT, etc)
• Identify strengths/weaknesses in business model
• (Strategy, Pricing, Valuation, Management,
  etc)
• JCF recommendations to Management to shore-up any
  weaknesses, if any
• Determine JCF and Management team deliverables in
  order to optimize corporate value and deal
  terms/investment offering

Confidential Proprietary The information
contained in this Power Point Presentation is
confidential and proprietary to JCF Consulting,
Inc.
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• CONSULTING ADVISORY SOLUTIONS
• FOUR STAGE PROCESS OVER 3-6 MONTHS
• STAGE 2 JCF Deal Document Scrubbing (if
  applicable)
• Optimize Executive Summary utilizing JCF 2 page
  template for soliciting deal flow to JCF
  investors
• Optimize PowerPoint Presentation utilizing JCF
  10-15 page template for presenting deal flow to
  JCF investors (i.e., WebEx, etc)
• Optimize Business Plan incorporating JCF
  identified solutions to shore-up any weaknesses
• Optimize deal structure (debt, equity or combo)
  to maximize shareholder value and provide lowest
  cost of capital to venture and founders
• Optimize pre-money valuation to structure deal
  terms and investment offering

Confidential Proprietary The information
contained in this Power Point Presentation is
confidential and proprietary to JCF Consulting,
Inc.
11

• CAPITAL ADVISORY SOLUTIONS
• FOUR STAGE PROCESS OVER 3-6 MONTHS
• STAGE 3 JCF Development of Targeted Funding
  Campaign
• JCF researches, identifies and prioritizes top
  JCF, angel, family office, venture capital and
  private equity firm targets within investor
  network to solicit deal for investment and
  co-investment
• Scalable pricing enables client to select the
  number of targets within targeted campaign to
  market
• Funding campaign and targeted investor details
  are fully disclosed to client

Confidential Proprietary The information
contained in this Power Point Presentation is
confidential and proprietary to JCF Consulting,
Inc.
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• CAPITAL ADVISORY SOLUTIONS
• FOUR STAGE PROCESS OVER 3-6 MONTHS
• STAGE 4 JCF Deal Marketing Support
• JCF contacts targeted angel, family office.
  venture capital and private equity within
  investor network marketing deal for investment
  and co-investment
• (via email, fax, phone, etc.)
• JCF arranges meetings and presentations in person
  or via WebEx with investors that have expressed
  interest
• JCF works closely with management to assist in
  deal support with investors (valuation,
  diligence, etc.) to close transaction

Confidential Proprietary The information
contained in this Power Point Presentation is
confidential and proprietary to JCF Consulting,
Inc.
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• CAPITAL ADVISORY CONSULTING
• PRICING
• Limited Budget Engagements
• Consulting available at reasonably low rates
• Scalable pricing based on the amount of capital
  being raised and targeted investors selected
• Retainer for 3 or 6 months of deal marketing and
  support to close transaction (low cost per
  contact)
• Unlimited or All-Inclusive Engagements
• Includes unlimited capital advisory and
  consulting services
• Retainer for 3 or 6 months of deal marketing and
  support to close transaction (low cost per
  contact)
• Unlimited access to investor network

Confidential Proprietary The information
contained in this Power Point Presentation is
confidential and proprietary to JCF Consulting,
Inc.