Undoubtedly, the technology has done wonders in recent times; like it seems it has decimated the claim that some of the things in the world are not possible.
Could you think of man will fly in airplanes? Could you think of the existence of spacecraft which will travel thousands of miles? Or simply, could you imagine you will connect with a person through voice or video, who is sitting hundreds of miles from you? No, neither you nor anyone could imagine this before some decade, but technology has made all this possible.
These unbelievable possibilities have made technology huge investment opportunities and make it eclipsed other sectors like the financial and industrial sector; as no sector could provide you the growth and revenue like technology do. However, the opportunities are myriad, but it only helps the organizations which like to evolve and transformation with the passage of time.
Today, by seeing this tempting opportunity, many of us want to reap from in by investing in technology, but still ignorant of factors to thrive in this competitive landscape. So by keeping all the essential business success factors in mind, we are hereby discussing must-have features of a successful technology investment firm in today’s technology market landscape—
1—Technology Focus and Expertise
Sector expertise is the first quintessential for you to consider for your investment, or put the idea in perspective, you have to be acquainted with the in and outs of the industry. In this context, you have to understand technology by its core before investing in it. However, a decade ago, it was sufficed to understand the company and product, but with the current dynamism, an investor must be acquainted with the impact of the business in the future course and are the products will remain relevant in coming years.
A hands-on working experience in a tech company can help you out. For instance, like in the case of Atul Gupta, a businessman of South Africa has reaped out benefits in establishing a tech startup by his prior experience of working in a tech company, which later turned into a successful business venture in South Africa.
Obstacles are the harshest and obvious reality of any business. It is like, when you start a company, built it, and managed every operation of it, but you always find a great deal of difficulty in appreciating the challenges to grow a business. Well, there is a myth abounding in the market that success stories of entrepreneurs and businesses can help; yes they can, but only to a small extent. Here, only a hands-on experience of both success and failures can come to your rescue. An investor who always been in the hardships in building one or more growth companies has always an upper hand than a novice with a big capital advantage as well.
3—Both Sides of the Table
Perfect decision-making ability in a tech-startup will only emerge through a collective leadership of entrepreneurs and investors. A collective leadership implies that the perspectives of both of the sides should be equally weighed in. This works both ways, as the entrepreneurship with a technical acumen could get to understand the capital market, and on the other side, investors can get to know something about the technical idea for which he/she investing in. Or this process can become simpler when the entrepreneur with an idea is also the investor for the company.
4— Your Funding Strategy
When the high-time comes to raise money for your tech-startup, always get to know some potential funders before you demand the money. And please keep one thing in your mind that the role of investor doesn’t end by providing the money, so build a good rapport with them, as they are the ones who help you in the future as well. However, you can find a plethora of investors, but only a few have interest in the business you are and likely to stay with you in a long run.
5 – Differentiated Value-creation
Everyone is in the quest to get one of the best start-up companies for investing. But is it possible for everyone to get the best? And secondly, is it possible that investing in one of the best company will work for you? No, there is no certainty in this case, and most of the tech savvy are acquainted with this fact. They pick the opportunity when everyone is least interested in it, as they have the acumen to understand the hidden value in the whole picture. This whole concept simply implies that always pick a company by the parameter of the opportunities in technology in it or whether your investment can make a difference in its success.