The road to IPO can feel like running a miracle mile. It’s high stakes, expensive, and fraught with regulatory hurdles. However, the upside is significant. Accessing the ASX has long been a popular option for tech companies looking to unlock the largest pool of investable funds in Asia, often at less cost of dilution than the limited VC options in the region. Indeed, growth-hungry investors are…
A better way to get ready for capital raising
Stuart Clout, CEO and Founder, thedocyard
Capital raising is one of the most thrilling times for any business – especially if it’s your own. You’ve got to put your best foot forward and convince people why you’re worth taking the risk. There’s a need for painstaking preparation and more than a dash of mental fortitude.
Much of it is quite adrenaline fueled but at the heart of it all is simply getting organised. That comes down to a whole lot of tedious admin and collaboration - from preparation to negotiations and close.
As with any transaction, there are a multitude of small tasks, involving many teams. You’ve got to curate and prepare a long list of documents for third parties to review – and you’ve got to get it done right.
I should know. thedocyard went through a capital raising in July of this year, in the middle of the pandemic. If you’re like us, you’re trying to move the capital raising forward while continuing to work in your growing start-up in a highly unpredictable business environment.
If you’re like many other companies tapping the capital markets this year, you’re doing so on an urgent basis to meet upcoming debt requirements or simply satisfy working capital needs. Either way, the need to get things right, and efficiently, just got even bigger.
Here’s how thedocyard, an end-to-end deal management platform, can help you get ready for a successful capital raising with fewer headaches, allowing you to stay focused on what matters and move faster:
1. Adding some shine
Before you show off your wares, you need to polish them up. Within thedocyard’s digital deal workflow, integrated project management and collaboration tools you can make this a lot easier.
By creating project checklists and assigning tasks to personalised checklists for each team member, all that preparation work happens smoothly and on time. Team level dashboards allow you to quickly see the status of the work and who needs to be nudged to keep things flowing.
2. Setting up the sales pitch
A big part of capital raising is the sell – the project, partners, management, financing. You’re essentially creating a sales brochure for your company.
This involves a fair bit of project management. The investment bankers need to do the financial work, management is creating the story, and the designers are making it all look great. You need to pull together the key pieces of information, tidy it up and present it in an appealing way.
Checklists at a project and personalised level come in handy here too – as do integrated collaboration tools. Rather than having versions flying around via email, centralized communications and thedocyard’s version control tools help to keep the project on track.
3. Keeping things secure, keeping things flowing
Once you’ve got an interested party, it’s time to do the due diligence. thedocyard’s cloud-based, integrated virtual data room has a granular permissioning system that provides you with control over information flow between all of the parties in the deal. This ensures you or your client's data doesn't get into the wrong hands, while giving everyone the access they need to make ask questions and make decisions.
With centralised communications, thedocyard can also keep the question and answer portion of the capital raising flowing, with greater visibility. If you do need it, you can access comprehensive audit trails – today, tomorrow or five years down the line. From start to close, it’s all there in thedocyard, not someone’s email inbox.
I’ve been involved in capital raisings when I worked as a lawyer in corporate advisory before founding thedocyard. Compared with that process we halved the volume of emails flowing between parties, significantly streamlined the process and always knew where the deal was up to. This had a major effect on reducing unnecessary anxiety for everyone involved.
The additional transparency also made it far easier to focus on what might be stopping the transaction moving forward at any given time. At the same time, the amount of confidential information flying around via email was significantly reduced.
Long story short, thedocyard used thedocyard to carry out an efficient, transparent and ultimately successful capital raising – which is great because now we can help more people do the same. Get in touch if you’d like to find out more.
Built by deal-makers for deal-makers, thedocyard provides workflow, compliance and productivity in one platform. Learn more about our end to end deal management platform or book an online demo with our customer success team.