When is the last time you evaluated the effectiveness of your investment presentations? After more than twenty years of presenting investment opportunities to key decision makers, Darby Finance has studied the elements that the most effective investment presentations have in common.
When you get ready to raise capital for your investment, or your project, most people understand the importance of having a good valuation or a customized financial model that supports your valuation. However, often people overlook the importance of a great financial story. Here are a few recommendations for creating investment presentations that stand out among the competition.
Communication is critical for companies, both internally and externally. When dealing with a new investment opportunity, communication oftentimes becomes more difficult because the material can be complex and difficult to understand. A project team will work for months to understand, refine, and negotiate a project, but when the team goes before the board or management for approval, it can be challenging to prepare an effective communication/financial presentation after being embedded in the project for so long.
Recently, an oil and gas company approached Darby Finance about a customized financial model while already in negotiations with a partner company. These negotiations would expand the company’s footprint into in a new geographic region, which would bring about a significant change in tax considerations and profitability. However, the oil and gas company’s decision-making had been hindered by a complex financial model that was not easy for the partner company to use or understand.
When should you use a customized financial model versus an off-the-shelf valuation tool? Each valuation tool has strengths that should be utilized at different points of the valuation process.
The Offshore Energy Industry’s premier, global event, OTC 2018, is less than a month away. Darby Finance makes a point of attending OTC every year. Why? This post will explain why OTC is one of the best places to network, explore new business opportunities, and broaden your knowledge about offshore technology.
Darby Finance’s client, a growing boutique investment bank, was given the mandate from an offshore E&P company to raise up to $150 million of equity for a Gulf of Mexico development project. The client did not have the internal resources to develop a dynamic, Excel-based financial model needed to value the multi-block project or the creative resources to develop a professional pitch book.
A financial model is essential when presenting your investment case to key stakeholders. Without a clear and compelling financial model, your pitch lacks the necessary detail to sway investors in your venture’s favor. Here are some tips to creating a compelling financial model that will help start successful conversations with potential investors.
Large corporations have deep resources and a vast team of highly-educated financial analysts to develop sophisticated financial models, which often puts small and growing businesses at a disadvantage when making investment decisions. After spending a collective four decades working for Fortune 50 energy companies, the financial modeling consultants at Darby Finance realized the need to provide accessibility to sophisticated financial modeling systems to small and growing businesses, and help put them on the same playing field as their larger competitors.