Our Investment Criteria
We invest in companies that we believe meet these criteria:
We only invest in companies that are already generating revenue and are demonstrating consistent revenue growth. We require a minimum of $250k annual revenue run rate before investing.
We only invest in companies with great teams, bringing deep domain expertise, an innate understanding of the problem they are trying to solve, and the potential to credibly scale the business.
We only invest in companies with products or services that solve a real pain point.
We only invest in companies that have a proprietary or highly differentiated product with a path towards sustainable differentiation.
We only invest in companies with enormous potential for growth and that are addressing large target markets.
We only invest in companies with reasonable valuations reflecting a realistic assessment of the company's progress to date and prospects for success.
We have a strong preference for companies that are demonstrating early evidence of having identified efficient, scalable, paid customer acquisition channels, a low ratio of Customer Acquisition Cost to Lifetime Value and a quick time to recoup Customer Acquisition Cost.
We only invest in companies that will have a minimum available cash runway of 12 months post-close.
We only invest in companies that are capital efficient and can scale quickly without a lot of additional capital. We gravitate towards entrepreneurs who treat every dollar as if it’s their own and who think carefully about raising capital – both the timing and the amount – to optimize for success.
We prefer to invest in companies where the Forefront community can add significant value beyond capital. This includes introductions, strategic advice, referrals and more.
© Forefront Venture Partners 2024