The major criteria for investment are as follows:
Market factors and product/service characteristics:
- potential sales of the product/service;
- potential for market growth;
- quality of the product/services;
- competition in the sector;
- possibility of formal (patents) and informal (know-how) protection of the product/service in the competitive environment;
- social value of the product/service.
Financial indicators of project profitability:
- projected profitability of the business;
- projected rate of return.
Financial indicators of the project scale:
- amount of the investment;
- possibility of break-even without additional financing in the future;
- costs of the analysis of the market situation.
Additional characteristics:
- potential strategies of market exit (liquidity);
- general understanding of the business and the sector as a whole;
- possibility to attract co-investors.
The stability, professionalism, and positive reputation of the project team are also significant factors which influence the decision of DCH management whether to participate in the project.
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Investment Portfolio /
Investment Criteria
