A Project On Fund Strategy

1307 WordsDec 15, 20156 Pages
Fund Strategy Given HMC’s initial funding level of $1.1 million, the fund will target seed level (newly formed companies seeking funds for initial product/prototype development) and early level companies (companies with developed prototypes/business models seeking funds for early stage commercialization of their product). A typical investment for companies at these levels is between $25,000 and $100,000, which will allow HMC to invest in a portfolio of roughly 10 to 40 companies, with a goal of investing in roughly 20 companies. HMC as fund manager actively oversee the investing process. In particular, HMC will find and research investment opportunities in early stage companies. HMC will also negotiate the investment terms (amount…show more content…
Strategy and Competitive Advantage HMC will aim to successfully target, invest, and harvest profits in order to achieve its financial goals. In order to achieve these goals, HMC’s strategy will be to take advantage of Crescents current investment expertise and infrastructure and parlay them in to the early-stage business investment. HMC, through its managers and cooperation with Crescent will possess a group of individuals experienced in the investment and deal-making process. Crescent has overseen investment in nearly a quarter of billion dollars of real estate assets. Crescent also has a network of existing customers in the form of investors and tenants. Crescent has a strong investment infrastructure, including relationships with lenders, legal advisors, and consultants – as well as tenants in its real estate properties. Most importantly, Crescent has a number of experienced and “well-seasoned” deal makers on hand. HMC will have access to these resources and relationships. HMC will also seek to utilize
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