Stages of investment implementation

Stages of investment implementation

Initial analysis
The first step is to hand over to Ortie the investment project in a form of an enterprise description (attachment). After the first examination, Ortie assesses whether the project is consistent with the fund strategy, and then the initial risks tied to project's implementation are estimated. During this stage meetings with project's originators may be held

Assessment of the business plan
The second stage consists of the analysis of the complete business plan with detailed examination of the product or service, market profile and potential, assessment of the managing personnel and estimating the accuracy of financial forecasts set forth in the business plan.
In the case of a company still in its development stage, due diligence is carried out in its financial, organizational and legal fields.

Final assessment of the enterprise and setting forth investment terms
On the grounds of the assessment of the company and its executive personnel, the fund decides to accept or turn down the project. If the project has been accepted by the fund, investment terms are determined and set forth in the investment agreement. Once the agreement has been signed, the capital is transferred and the transaction is closed.
The complete investment process - from the moment of handing over essential materials and data to Ortie to paying the money into the company's bank account - can take from 1.5 to 3 months, depending on the attitude of the business leaders as well as on the flow of documents and information.

Post-investment cooperation
The decision to invest capital into a company means entering into cooperation based on mutual trust and respect of each other's interest. In addition to equity links, the funds are connected with the company also by the person of the Ortie investment director, who represents them in the supervisory board, and simultaneously is a partner in the company's management board, where he advises on key decisions. Companies are obliged to report regularly, most often monthly and according to a set pattern, which allows to identify deteriorating conditions or any other irregularities at an early stage. Every year companies prepare the budget for the next year, which has to be approved by their supervisory board and which serves as a basis to assess the operation of the company and its management.

Main areas of cooperation with the company
  • Assistance in drawing up strategies, business plans and financial plans;
  • Consultancy on drawing up and implementing investment plans, as well as selecting, assessing and acquiring financial sources and instruments;
  • Supporting the company in transforming its organizational and corporate structure during the stage of dynamic growth and development;
  • Assistance in finding and negotiating with key investor.


Making an exit from the investment
The terms of an exit of the fund from a particular investment are pre-determined in the investment agreement. The decision takes into account the development stage of the company, its profile, the profile of the company's trade and economic situation. It is important that after Ortie has made its exit, new investor continues company's strategy, further increasing its value.

As Ortie invests into enterprises at an early development stage and plans to finish the investment within 3 years, the preferred form of exit is selling shares to the present management (management buyout) or selling them to other venture capital fund which invests in companies at more advanced stages of development.

The process of making an exit from the investment is conducted with the assistance of an experienced and qualified consultant, specializing in servicing medium size transactions.