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Home > Financial Press Releases > Business Funding Finally Catching Up With the 21st Century
Business Funding Finally Catching Up With the 21st Century
Startups That Scored Over a 1,000 on The Venture Alliance’s 1200-point Scoring System Getting Funded.
Newport Beach, CA (PRWEB) November 28, 2005 -- The chance of the average Entrepreneur getting his startup funded historically ranges in the 3 % to 5 % range. Until now, the primary criteria of funding for an entrepreneur depended on who he knew and the not necessarily the viability of his company. If that same entrepreneur were to go through The Venture Alliance (“TVA”) Scoring Process and scores over a 1,000 on a 0- 1,200 scale their chance of getting funded now skyrockets up to 50 %! So much for needing to be well connected. In fact, this year 70 % of the companies that made TVA’s Top 10 list have been funded so far.
One of the challenges facing the funding of private equity companies is that the system used to vet the best deals is still in the dark ages. “My first car loan came about because my father took me to meet his banker and vouched for me,” said Jim Casparie, TVA’s CEO. Today, lenders depend primarily on a client’s FICO score to measure the credit worthiness of a customer. Similarly, getting into a good college used to depend on your family’s connections and/or pedigree. Today, a good SAT score makes that determination. “The TVA Scoring system shifts the emphasis of a company’s funding to what you have to offer, not who you know,” concludes Casparie.
“The TVA Score showed us how investors really saw our business, and while we scored quite high, we learned we needed to better articulate our model to those outside our industry,” said Charlie Weber, former CEO of LucasFilm and now heading up CEO America, Inc. (CEOA), marketer of CREDITZ™ Digital Currency. “The feedback TVA gave us was invaluable, and we now have a Term Sheet from one of TVA’s network of investors.”
TVA’s Top Ten list included a diverse group of industries from medical services and healthcare to high tech infrastructure and automotive. Despite the various industry segments represented, they all have one thing in common. They went through TVA’s scoring process, received counseling on how and where to increase their weaknesses and went on to get the investment capital they needed.
“It’s akin to having your personal credit run and seeing that your FICO Score is 570. What if you could do a bit of work and raise it to 750?” said TVA’s COO Elliot Reiff. ‘Just like raising one’s FICO Score can be a mysterious process, so is figuring out what a VC is looking for before they will fund you.” asks Reiff. “TVA understands the VC “secret sauce” that leads to early stage companies getting funded.,” concludes Reiff.
The Venture Alliance family of companies works closely with a nationwide group of professional investors, and venture capital funds representing over $5 Billion in capital that utilizes TVA’s scoring technology in managing their deal flow.
About The Venture Alliance (TVA)
TVA's successful track record of assessing the fundability of private equity companies is backed by a proven methodology and a vast network of financial resources.
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