Investment Formula. We follow a proven formula: Find exceptional management teams. Build ventures into dominant leaders of high-growth markets. Add value with our experience, expertise and strategic partnerships.
Early-Stage Seeding. We seek ventures with a proven management team, powerful value proposition, and protectable intellectual property that fills a need for a high-growth market. We strongly believe that we are now at the beginning of a new investment cycle. The pace of technological innovation remains strong. However, investing in early-stage deals requires us to pay attention to three issues in making investment decisions:
In-Depth Decisionmaking. Masthead performs exhaustive analysis and rigorous and complete due diligence in making investment decisions in early-stage ventures. We have developed a complete investment process that builds a sound foundation for implementing our investment strategy. Criteria for investing include: a proven management team in place, a powerful value proposition, a large market potential with must-have products, proven and protectable technology supported by proprietary intellectual property, capital efficiency, the potential for significant value creation, and a clear path to profitability.
- Nice-to-have is not enough. Companies, particularly startups, must offer their customers a compelling value proposition.
- Partnerships are more important than ever. Masthead seeks out investments in companies that can benefit from potential synergies with the Masthead network.
- The ability to achieve sustainability is critical. Companies that achieve financial sustainability can afford to wait for optimal exit opportunities.
Emerging Opportunities. We target seed- to early-stage investment opportunities in high-growth, high-tech sectors of the economy: software and enterprise applications, communications, Internet infrastructure, wireless technology and applications, and life sciences/medical technology. These sectors offer strong future prospects and present numerous investment opportunities. Masthead invests in those companies creating new solutions to critical business challenges. We focus on investments in which the operating backgrounds and expansive networks of our partners can offer portfolio companies an "unfair competitive edge."