Wednesday 20th September

The CAF Guide

Epilogue

Our hero creative company has been on a long journey – from one investment readiness to another.

The featured film in this epilogue is to let you know what happened next: the ongoing chapters.

Maverick TV took its roots as an innovative company and nurtured the inherent creativity of its team to grow into a multiplatform online content provider. ”Maverick was recently named the second most respected independent production company by its rivals in an industry poll” (All3media website). It anticipated the changing ways in which people now consume media and provided quality content and enhanced services. It delivers those services at scale.

The payback for Maverick includes a sense of something moving full circle for them: having played a part in trying to set up a production fund for the West Midlands it instead achieved a trade sale which put funds back into CAF’s coffers.  Maverick could honour its West Midlands roots by contributing to a fund that invested in new Birmingham based businesses to start them on their journey to exit.  That too, will take time.  Remember this is “patient money”.

Trade sales are not the only exit route open to investee companies.  Some, unfortunately, will not stay in business; some, as Thomas mentions in Act 2, will simply carry on, and others will purchase the shares back off the fund.  These entrepreneurs display what Thomas calls in the film below “a virtuous greed”.  They buy back the shares with their own money or with funds they have raised (often on the strength of their own shareholding).  Whichever exit route is taken, the aim is the same for the fund: “Get rid of us and make us rich in the process”.

So here our journey to investment readiness comes to a close.  Whether or not a creative company manages to attract VC type investment the discipline, planning and focus that is required to ensure a business is “investment ready” is itself hugely beneficial.  As Thomas points out, “the process of getting ready is also valuable.”

We hope this guide has encouraged you to take your business on the journey of investment readiness.  Whatever the outcome, your business will be the better for it.

 

Prologue

Where we hear about the history and background to the CAF Fund Read more...

Act 1

Where our hero decides whether VC investment is right for them Read more...

Act 2

Where our creative company prepare for the big pitch Read more...

Act 3

Having got the “yes”, our hero signs the deal and their lives together begin Read more...