Business Ventures Techieindex – Tuesday, February 24, 2004
Ron, can you describe to us what your personal focus these days toward technology world?
Software focus. Healthy, growing companies looking for additional private capital or M&A exits opportunities
Can you please explain the services offered by CatapultAdvisors ?
Both applications and infrastructure: especially active in those areas where there is fragmentation (overfunding) and expected consolidation (e.g security, storage in infrastructure; CRM in apps)
Do you have any preference on any segments, what are the reasons for choosing these segments?
We work on quality opportunities in the software space-period
I have noticed that, you have Yahoo and other mixed business segments in your client profile, then why you are focusing only Storage & security now?
We are NOT a VC investor. We DO help software companies raise capital and find strategic or financial buyers (no troubled companies however)
Are you trying to be highly focused on certain areas or using all the opportunity comes in hand?, What will be your strategy for 2003 & 2004.
Our highly focused strategy for 2003 and 2004 will remain the same: focus on helping healthy, quality software companies with M&A and capital raising–we are NOT opportunistic
What is your future forecasting for venture-funded companies, which are still in product development stage?
If a software company is pre-product, they should keep their burn rate as low as possible and seek out partners as early as possible for distribution. Capital will remain scarce and will favor companies with customers and revenues.
How your company can compete with larger outfits in 2003?
Competition is fierce in our business but we almost always win in beauty contests because of our focus and superior domain expertise which is critical to success in today’s market environment.
What is your advice about the timing for M & A for a startup ?
Start thinking about exits from the beginning. Plan for OEMs and other partnerships early as a possible as a prelude to an exit strategy. Do not raise so much capital that M&A is not an attractive option.
What are your targets for this year & are you confident in achieving the targets?
Our financial targets are confidential but we are confident that we will achieve them.
What are your guidelines to companies those are venture funded & now looking for another rounds?
Get professional help (before you try on your own). Start early (it always takes longer than you think). Raise more than you think you need (it always runs out).