How we do this?
What is VRPG?
Our own canvas model
At our firm, we have implemented the VRPG framework, inspired by the canvas model, to guide our investment strategy. This framework revolves around four key elements: Value, Resources, Problems, and Goals. By utilising this framework, we carefully assess the shared values and attributes of both entrepreneurs and investors, thereby ensuring a compatible and fruitful partnership.
The VRPG framework functions as a canvas-type model, facilitating the collection and alignment of values from all parties involved. This comprehensive approach allows us to evaluate the degree of alignment between the values of entrepreneurs and investors. If a close alignment is observed, we proceed with the investment deal, recognizing the potential for a successful collaboration.
Through the VRPG framework, we aim to foster a strong foundation for investment decisions, highlighting the significance of shared values and goals. By prioritising these elements, we strive to create mutually beneficial relationships between entrepreneurs and investors, ultimately driving business growth and success.
Our investment criteria are based on the VRPG outcome, the impact the entrepreneur has made, and the extent of technology used to solve business problems. We value businesses that manage their governance digitally, providing transparency, reducing internal conflict, and focusing on growth.
Our investment approach differs from traditional methods that heavily rely on subjective factors such as investors' preferences and perceived factors. Instead, we leverage a more objective criteria based on market growth potential, team culture, founders' chemistry, and product-market fit.
To ensure thorough evaluation, we record the VRPG (Value, Resources, Problems, Goals) of both the business and founders. This assists us in assessing business market fit, attaching value, and understanding the underlying business models. We also aim to mitigate risk by sharing intellectual property and conducting inspections of IP and technology.
In the initial stages of our investment, we typically provide a smaller amount with specific terms and conditions. These terms may include practices like Vipassana sessions, documenting KPIs, providing transparent information, and allowing a board member from Cynsar Capital to be involved in important decision making. We follow a staged investment process, initially committing a fraction of the total amount and monitoring progress before making further investments. In return, we typically acquire a 10% equity stake.
Data ethics and privacy are crucial aspects for us. We prioritise building products based on ethical data exploration rather than data selling. Adherence to strict data policies ensures the protection of user information and aligns with our values.
By adopting this approach, we strive to foster long-term partnerships with startups while promoting growth, ethical practices, and data-driven decision-making.
If you have an idea
that deserves some attention and probably support reach out to us. We always like fishing and experimentation.