Comprehensive industry analysis has always been an inherent part of our due diligence process. In this video, Ash provides his thoughts on how this works in practice.
Pre-Diligence: BuildingIndustry Knowledge
Often, before we even consider investing in a company, we spend significant time understanding the broader industry landscape which the company operates in. Take the energy sector, for example. With innovations ranging from new energy sources to storage solutions, it's critical to comprehend the entire ecosystem.
Using energy as the example, our pre-diligence process would involve:
- Identifying key stakeholders: mapping out all players in the industry, from buyers and customers to regulators and grid operators.
- Understanding pain points: by analysing each stakeholder's perspective, we can start to appreciate the most pressing challenges and opportunities in the sector.
- Grasping industry dynamics: We form a comprehensive view of how the sector operates, its current state, and future trends.
This in-depth understanding allows us to be market-led in our approach, focusing our efforts on areas with the most potential for impact and growth.
Informed Engagement withCompanies
This industry knowledge enables us to engage more effectively with the company that we’re looking to invest in – our questions become more specific and relevant. For instance, in the energy storage space, our understanding of grid operations and stakeholder needs means we can delve deeper into a company's value proposition and market fit – making sure the solution is scalable and capable of having a real-world impact.
This approach ensures that our interactions with companies are not just about assessing their technology, but also about understanding how well they align with market needs and industry dynamics.
Leveraging Global Expertise
A key aspect of ourknowledge-building process is our network of venture partners and advisors.These individuals bring significant global experience across various industries, providing us with:
- Insider perspectives on industry trends
- International market insights
- Technical expertise in specific domains
By integrating this global expertise into our due diligence process, we ensure that our investment decisions are informed by a diverse range of perspectives and experiences.
