Once the parties have made their initial decisions it is important to get the detailed work completed as soon as possible. There are many areas to be reviewed, and often input from external lawyers and accountants is required in order to understand and verify the financials of a company.

We aim to make this an interactive process. Rather than looking at the company "from the outside" we try to get involved with the management as much as possible in the development of a detailed business plan for the company. This business plan should describe how the company, with the aid of Vencap, is going to succeed. During this interactive process, both parties will learn how the other party works and get a feeling for their values and visions.

We think this process will in itself be valuable to the company whether it leads to an agreement or not. The management will work together with Vencap's professionals and learn from their past experiences. The involvement of several people with different backgrounds is likely to improve the quality of the business plan.

The investor's exit plan must be drawn up at this stage. As Vencap will want to exit from the company within an agreed timeframe, it is important to identify alternative exit possibilities and ensure that everyone is comfortable with them.