commercially skilled and impartial intermediary reduces the risks of failure and increases the quality of partnerships offered on the system.
Advisers agree to the ground rules and code of conduct imposed by Corporate Venturing UK, but are otherwise completely independent agents, free to negotiate fees and professional arrangements for their assistance to companies. The experience of typical corporate venturing deals is that a range of advisers may be needed to bring a deal to fruition. The Corporate Venturing UK system aims to bring the right adviser in at an early stage, and provide full opportunities for a company to actively involve more specialist advisers in the process. This potentially increases the speed and efficiency, and reduces the overall cost, of achieving a successful corporate venturing deal.
8. Who will be the main users of Corporate Venturing UK?
Most users will be corporates, small companies and their advisers. There is also strong interest from universities, research organisations, incubators, business angel investors and other providers of early stage finance. Corporate Venturing UK is actively encouraging the full involvement of
all these and any other group likely to bring value to users of the system.
9. Will venture capital companies have a role to play?
Venture capitalists are likely to be interested in exactly the sorts of smaller company who will benefit from corporate venturing. In providing equity for growth and development, venture capitalists offer a parallel, but different, resource to such companies. Evidence from the US suggests that there a successful link with a corporate venturer enhances a company's ability to secure finance from venture capitalists.
Corporate Venturing UK is not designed to assist brokerage of venture capital deals, but there is clear synergy between the two areas. We want our existing strong links with the venture capital community continue to grow, and for this synergy to be exploited wherever possible.
10. How widespread is corporate venturing already in the UK?
Very little real data is available, but, anecdotally, it is less widespread that in the USA and some European countries. Nevertheless, it is already common practice in many industries, like pharmaceuticals, and many
