Investment Strategy

Investment Philosophy

Stringent investment approach

BCV evaluates and invests in companies that meet specific investment criteria within well-defined industry parameters. BCV uses senior advisors and consultants to complement its expertise and to accelerate the decision-making process.

Active board role

For start-up companies, strategic guidance is often more important than capital. In response, BCV will typically seek board representation in most of its portfolio companies. The management team's experience in founding and managing high-growth companies makes BCV particularly well suited to assume a strategic advisory role.

Rate of return targets

When evaluating potential investments, BCV looks for opportunities where significant revenue and profit potential can be achieved. Each portfolio company should have the potential to generate a 10 times return on investment.

Initial investment size typically $0.5 to 3 million

BCV generally provides multiple rounds of financing with an average aggregate investment size of $1 to 5 million. Investing in portfolio companies that are at early revenue stages provides access to quality deals at attractive valuations.

Concentration in US-based companies

BCV typically takes an active board membership role with portfolio companies. As a result, the majority of investments will be in companies located in the northeastern United States. BCV may also commit a portion of its capital to opportunities in other geographic areas where the partners can draw on their extensive personal and professional network.

Selective use of Senior Advisors

During the due diligence and investment management process, BCV will from time to time seek the advice and assistance of senior executives and consultants to whom they have access in those industries in which BCV IV plans to invest. BCV believes that drawing upon the special expertise and experience of senior advisors and executives in a highly targeted and selective manner will contribute significantly to the success of the portfolio companies.

Investment Focus

Companies that are producing technology-based products and services

The Partnership's objective is to achieve above average investment returns through investments in (a) enterprise & infrastructure software, revenue management, marketing resource management, CAD/CAM, collaboration & development tools, Web Services, B2B technologies and telecommunications software with whom the general partners can leverage their industry and operating experience and (b) service-based companies which differentiate their offerings through the use of the above mentioned technologies. All portfolio companies should have the potential to generate above average return on investment. The Partners believe that investments in software and technology companies have the potential to accomplish this objective.

Companies at early revenue or prototype stage

BCV typically will invest in companies that have or expect to generate revenues in the near term. These companies typically will have products that are in the prototype or shipping stage.


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