Our Process

Finding capital for growth businesses can be a daunting endeavor. The Maine Venture Fund encourages managers seeking capital to educate themselves on the venture capital process. For more information on venture capital, please visit the Resources page.

A company’s management is often surprised at how long it takes to raise capital. The Maine Venture Fund encourages companies to start the process early and begin to contact potential investors, those interested in companies like yours, long before the capital is needed.The typical length of time between the initial contact and the disbursement of funds for any institutional investor is approximately 6 months. The chart below represents a typical timeline for Maine Venture Fund.

MONTH
1 2 3 4 5 6
Get acquainted  X
Respond to initial materials request  X  X
Due diligence  X  X  X
Presentation at Maine Venture Board  X
Line up other investors  X X  X
Negotiate terms / term sheet  X  X
Create closing docs, close, disburse funds  X

 

Before contacting the Maine Venture Fund, or other potential investors, consider the following:

Know your Business

Articulate your business model and the products value proposition, and clearly demonstrate the amount of capital your company will need to achieve its objectives. Present this in a succinct and easy to understand executive summary.

Learn

Venture capital is not right for every business. In order to determine if venture funds are right for your business read: “A Primer for Venture Capital in Maine” and visit the Resources page. In addition, attend networking events like the monthly PubHub, sponsored by the Casco Bay Technology Hub.

Alternative Sources of Capital

Other sources of capital include internally generated funds, family and friends, Small Business Innovative Research (SBIR) grants, Maine Technology Institute (MTI) grants and contingent loans, organized angel groups like Maine Angels and eCoast Angels, other individual (angel) investors, other venture capital funds like Coastal Ventures, bank loans, and SBA or FAME backed bank loans.

Learn about our Due Diligence Process


 

To start the process Contact Us