Here at Mezy, we specialize in early-stage diligence-as-a-service (DaaS). Our clients are investors looking for new opportunities to help companies raise capital. They are companies utilizing our services to narrow down a hundred merger possibilities to five or six. What we offer plays a vital role in identifying the right investments regardless of your investment strategy.
DaaS is such a far-reaching discipline. Yet we believe there are plenty of circumstances that call for early-stage DaaS rather than diving right into the deep end of the diligence pool. Early-stage DaaS lays the foundation for what hopefully becomes a profitable deal. Here’s how you can use it to find the right investments:
Quickly Screen the Possibilities
There is no shortage of investment opportunities on any given day. You could spend hour after hour just tracking them all down and listing them. But at some point, you have to start looking at what each of those opportunities offers. That is where screening comes into play.
By looking at the basic components of each deal and comparing them under a standardized format, you can quickly screen a large volume of possibilities. Fast screening provides that all-important first impression in a bite-size overview that’s easy to absorb. That way, you don’t get bogged down in details that may prove to be unimportant in the long run.
Create Your Short List
A quick screening of all the possibilities quickly eliminates those opportunities the data demonstrates just aren’t acceptable. Now you have to create your shortlist. That’s where a deeper analysis comes in. Our DaaS services include what we call the Mezy Brief, a single-page examination of what each opportunity offers.
Preparing the Brief involves looking at a target’s fundamentals in more detail. Data focuses on financials, management teams, the competitive landscape, and other key performance indicators as dictated by investment type. Between fast screening and the Mezy Brief, you can reduce hundreds of opportunities to a more manageable number.
A key component of early-stage DaaS is company valuation. Every opportunity you are looking at has been valued prior to being offered. You need to know whether individual valuations are in line with industry standards. To know this, you also have to look at things like market trends, company metrics, and even how a target stacks up against others in the same industry.
The goal here is to ensure that you don’t spend too much on one opportunity or completely miss another because you believe it’s too good to be true. Accurate valuations keep you in your price range while ensuring exposure to the best opportunities available at any given time.
Uncover Hidden Gems
Early-stage DaaS done right can accomplish something you might otherwise fail to do – uncover hidden gems. They are out there, in the form of so many startups looking for enthusiastic investors willing to take a chance. The thing to remember in this regard is that valuations do not tell the whole story.
We can help you identify opportunities you might otherwise pass by. Once identified, you can decide for yourself how you want to proceed. Should you choose not to move forward, at least having the opportunity to consider a hidden gem is far better than missing it altogether.
Early-stage DaaS could represent the most valuable tool you have to find the right investment opportunities. When you choose Mezy as your service provider, we help you screen opportunities faster, create your shortlist more effectively, accurately assess valuations, and uncover those hidden gems. All combined, our services can point you to very profitable deals.