Investing & management support - Starters
Unless the founders, which in the early phase of a company’s development are usually the management of the new business as well, are experienced business people who on their own will be able to build up a successful business, most engineers and scientists getting into business only have rudimentary knowledge of becoming entrepreneurs.
It is particularly for the latter category entrepreneurs that Photonics Investments can play an important role in the development of their new business. First and foremost this involves help in the writing of a good business plan followed by a critical analysis of the product line and its market potential. Last but not least is the financial underpinning of the business and the decision to be made by Photonics Investments to invest in the new venture by itself or in combination with other investors.
It is common that Photonics Investments’ involvement in any new venture, be it for management support, for investment or a combination of these two, that Photonics Investments acquires a certain percentage of the company’s stock. Once the decision to invest has been made, Photonics Investments will continue to be involved in the new business for a few years to get it up and running. Once the start up phase has been completed Photonics Investments normally would want to sell the stock to the other shareholders at a value to be determined at that time. For very successful ventures and in a more positive economic climate than we have experienced during the last few years, an Initial Public Offering (IPO) can also be considered.