Big Bang Ventures | ABOUT US

ABOUT US

1. What makes Big Bang Ventures different from other venture capital firms?

Venture capital firms, more often than not, are about Capital rather than Venture. This stems from the fact that they typically manage large pools of capital. Let's take a fairly standard player, with five or six people managing a total of $100 million in investments. That means one of two things must happen. Option one is investing $1 million in 100 companies, with each person on the team overseeing 20 or so companies. If this is the case, how much time they will they spend per start-up on helping build that business? Option number two is setting a minimum investment amount of somewhere around $5 million before they are even willing to talk with you. Now where does that leave an entrepreneur with a great concept, looking for help and expertise and in need of less capital?

Enter Big Bang Ventures! We focus specifically on early-stage, high-growth companies. We provide the funding, expertise and connections needed for companies to accelerate the early stages of development.

2. How does Big Bang Ventures compare to Business Angels?

In general, Big Bang Ventures and business angels are complementary. Often, business angels are successful business people who provide capital and share their expertise. Because business angels usually stay out of the spotlight and invest relatively small amounts, their importance is probably undervalued compared to venture capital firms. Unfortunately, there are not more than a handful of business angels throughout Europe who can bring the right combination for most innovative startups. The right combination is: high-energy enthusiasm and time, substantial capital, professional organization, and connection to a network of key players in the technical and financial sectors in Silicon Valley and worldwide. This unique combination is what Big Bang Ventures delivers.

3. I have an exciting business idea and I want to find out if Big Bang Ventures is interested? What is the next step?

Briefly describe your project and yourself in clear and concise language and email this to bigideas@bbv.be. If we think your idea is interesting, we will contact you to set up a follow-up meeting. If we're really excited about your business and there seems to be the right chemistry between all the people involved, Big Bang Ventures will perform due diligence and discuss the proposal with our Advisory Board and Executive Committee. Finally, we will work with you to properly define expectations, for both sides, and arrange the appropriate legal framework to get everything going.

4. What is a typical Big Bang Ventures' investment?

Big Bang Ventures invests both its human and capital resources. Big Bang initially invests € 500,000 to € 1,500,000 in early-stage capital in addition to providing hands-on assistance to help fill the gaps in your funding, expertise and connections.

5. How does Big Bang Ventures handle confidentiality, non-disclosure agreements (NDAs), and conflicts of interest?

Big Bang Ventures intends to stay a trusted party in the startup community. From the very start, all email, verbal discussions, and other information we receive from you is treated as confidential. Sometimes we are asked to sign an NDA. We do not sign NDAs because this would limit our business opportunities and expose us to unnecessary legal issues. We receive so many business plans each year that taking the time and resources to review NDAs simply isn't productive. In case of conflict of interest (e.g. you send us a business idea that has some overlap with a company we already invested in (which you can also find on our website) or are far down the road with) we will disclose this to you while respecting confidentiality.
If and when initial discussions and preliminary investigations result in a Letter of Intent / Interest or Term Sheet then they will include confidentiality clauses. As part of the due diligence process that starts after having signed these documents, we will expect to learn about your "secret sauce" and you should be protected for that.

6. I have an extraordinary business idea and intend to have the headquarters located in Tahiti. Is Big Bang Ventures interested?

Unfortunately not. While Tahiti might be an excellent spot to launch your business, Big Bang Ventures attaches great value to being directly involved on a frequent basis. There's a quality to physical proximity that can't be traded, not even for Tahiti. For this reason, Big Bang Venture's operational coverage area is primarily focused on the Benelux and surrounding countries.

7. What to expect in a first meeting?

OK, you've secured a face to face meeting with a VC. What to expect and what to do?
While it is wise to prepare and screen the VC's website, it is still ok for you to ask the VC to present himself and his fund. Never assume that the VC has read or still remembers your plan in detail prior to the meeting. Always be prepared to start from scratch or ask the VC what he wants to cover. We personally love demos so if you have something to show then show it. Keep your slide show to under 25 slides and make sure to cover your market space, product, competition, sales & marketing strategy, executive team and projected burn rate.
Please also stick to the allotted time. This will typically be 1 or 1.5 hours. Don't spend 25% of your allotted time to debate one single topic. Make sure you cover all the salient points and that you reserve enough time at the end of the meeting to solicit feedback and discuss next steps, if any.

8. Taking/Seeking no for an answer.

A VC typically invests in less than three deals out of a hundred that he sees. So don't be offended if your incredible startup receives a no. While you may get a clear "no thanks but thanks" over the phone, in an email or at the end of a meeting, it is your job to solicit feedback from the VC until you get "closure".
If and when the situation dramatically changes, e.g. when you can prove sufficient traction, send the VC an email explaining what successes you've had and why he should reconsider. Don't be overly enthusiastic - this will typically not happen within the first 9 months after the refusal to pursue.