Our Investment Focus

The investment strategy of Einstein Industries Ventures focuses on companies in the first-stage phase (Series B,C). Here, the target company's serial production process has already begun and investments have been made in the market launch and distribution network. This phase of the company's life cycle is characterized by continuously high expenses and only slowly increasing revenues. As a rule, start-up losses and the build-up of receivables lead to a high additional capital requirement, which is a classic field of activity for venture capital companies that can also score with management support in the areas of market launch, digital business model and organizational development. Here Einstein Industries Ventures is able to play to its strengths, namely to correctly assess the growth forecast on the basis of the operational company characteristics, management performance and environment factors shown. 

However, Einstein Industries Ventures is also interested in investing in second-stage companies (Series D, Pre IPO), provided that the return expectations are met in the overall fund and a balanced risk management is supported. Companies of that stage are basically established in the market, show increasing sales, usually accompany their growth strategy with a technological further development of their product or production (fixed cost degression) as well as an increase in personnel, from which a capital requirement is derived. The prospects are clearly visible here, which then also makes investment accessible to those outside the industry or with less operational experience, although this often exaggerates value expectations of the target.

Einstein Industries Ventures investments are generally: 
● minority investments, with management participation and information rights in the portfolio companies, if applicable; 
● participatiing in subsequent follow-on financing rounds to minimize dilution where possible; and 
● including 10 to 50 million euros of equity over the course of several financing rounds.