1. Who will I (the company wanting an investor or capital) be in contact with?
A. The company looking for an investor / capital will be in contact with our partner firm, us if necessary, and if the private equity firm wants to meet, then you would be in contact with them as well. Capital Infinity Research runs our database and passes along the information to our partner firm. We can also offer consulting services to our partner if need be, and are here to provide support. Of course you should also be in contact with your lawyer, investment advisor, etc. since they are the ones who will be looking after your interests.
2. Will the private equity firm always make an offer?
A. No. Some will not make an offer; some might not be interested in a meeting. If either happens, we can go back to our database and search for another possible match. Some might make an offer that does not fit your needs. All of these issues are things you should discuss with your investment advisor, lawyer, and others that have your interests in mind.
3. What happens to my data if I provide financial statements?
A. The partner firm will have confidentiality statements (our partner firm can provide one, or you can supply your own), and the private equity firm will also have signed confidentiality statements (this is a standard practice for them). Our consultants working with our partner firms will also be privy to your data, but we are bound by the same confidentiality agreement. Your data will not be shared with anyone prior to your knowledge – i.e. our partner firm will share it with the private equity firm if necessary, and that is it. Nobody will see it without your approval and without them signing a confidentiality agreement.
4. Who / where are these Private Equity firms?
A. Our database consists of over 2,300 known private equity, venture capital, angel investors, and other capital sources. We had manually researched over 700 of them in the past, and bring that research knowledge to our current effort of providing a subscription service. Our efforts focus on US based Private Equity firms, but we do have some UK and other European firms in our database. For Capital Sourcing, we have specifically focused on US based Private Equity firms that are interested in US headquartered companies. We did this because this is where we saw the greatest need for introductions. These are Private Equity firms located in the US with a specific strategy to invest in the US and sometimes to only invest in certain regions within the US. Some of these firms have expanded their scope to North America, but in general they try to be close to where their investments are.
5. What does this service cost me?
A. Time. This process could be a time consuming affair. Every company has its own systems in place and responds at a different pace. The Private Equity firm pays our partner a “finder’s fee” or “referral fee” if the Private Equity firm decides to invest. Locating good companies that fit a Private Equity firm’s specific interest is difficult and Private Equity firms are willing to compensate for that time, effort and knowledge, and actively look for companies that can provide these introductions. If you decide to use other services (your lawyer or investment advisor for instance), you would have to pay them of course. Capital Infinity Research gets paid by our partner firm for our research services; this is purely a relationship between us and our partner firm. Capital Infinity will not be a party in any transaction, and is NOT affiliated with any Private Equity firm.