Nov
08

For some entrepreneurs, they have excellent ideas to set up new businesses in the non-technology areas, such as retail, commercial services or franchising opportunities. There are many venture capital firms or private equity firms that are specialized in these non-technology sectors.

In many cases, some venture capital firms prefer to invest in non-technology businesses as they are easier to understand; and also have consumers and customers ready to try out these businesses. For private equity firms, many are looking to acquire existing family business (family succession) and expand them into next phase through growth or mergers & acquisition.

What kind of these firms have invested in “traditional business sectors”?

1. Retail sector – this has been one of the largest sector invested by venture capital firms, they have invested in young designers, they have invested in new retail concepts or providing capital for marketing or manufacturing facility.

2. Franchising – we also notice this sector has attracted a lot of capital from venture capital firms – both food and non-food related franchises. Franchising is a good model to expand business quickly without substantial capital expenditure.

3. Manufacturing – there are a number of firms specialize in providing financing for manufacturing facilities in the United States, this includes special situation financing such as expansion or mergers & acquisition. Manufacturing is one of the most active sectors invested by businesses, as this often relates to expansion capital or acquisition capital, which are preferred by many private equity funds. Read more…

Nov
03

Pharma companies are taking a second look at startups in 2012. These companies are known to be a driving force in the research and development of new medications. This is currently a lucrative area, and many of these startups provide a lot of innovation in this field. These new companies are able to work in a number of ways that are not available to many of the largest firms. They often have a greater freedom to develop their products.

Many of the innovations that occur in the pharmaceutical industry are brought about by small startup companies. A pharma company often has to struggle to get the capital that is essential to their work. There are a number of ways that they can do this, and many rely on investments from venture capitalists. This capital provides a number of things to these startup companies.

A pharma company needs resources to continue its work in the innovation and testing of new medications. They often have incredibly high bills, and most of these startups require independent capital to help them meet their needs. Venture capitalists often provide the resources that these small startups need. This is also a great area for investors to realize an excellent return on their capital.

2012 is sure to bring about many new things to pharma companies. Most analysts are aware of the earning potentials that are available in this field. Startups are an important player in this game, and their work is essential to the development of new medications. Read more…