By Allan Maurer
ATLANTA—NuQuest Inc., an Atlanta-based business development firm, has launched a Web portal called CapitalMatchPoint that connects businesses looking for capital with investors in much the same way dating sites connect people. “Sites like Match.com and eHarmony connect needs to preferences,” says NuQuest President R.K. (Ken) Honeyman.
“We’ve located investors and determined what types of companies they will invest in, the size of their investments, the geographic locations they’re interested in, as many of those types of preferences as you can find, then match them with companies looking for capital,” Honeyman says.
The company already has a database of 3,500 capital providers from many different investment areas.
“The efficiencies created by the Capital MatchPoint are unsurpassed in the investment industry. The web portal allows both the capital seeker and the investor to meet in an automated and intuitive platform that starts the process of deal introduction in mere seconds,” says Honeyman.
One-page goes to investors
Entrepreneurs can try the quick search feature and find out how many investors are in the database looking for deals in their space in the same financial range. In a test, we searched for a $1 million software investment in North Carolina and saw that 76 investors fit those criteria.
Entrepreneurs who wish to proceed pay a $150 up front fee and $90 a month.
They write up a one-page description of the capital-seeking company that goes out to the matched investors. “This isn’t some ink-sucking verbiage meant to clutter an investor’s inbox,” says Honeyman. “It’s a succinct, one-page due diligence that serves as the initial introduction.”
If that write-up gets attention, an investor proceeds, once granted the entrepreneur’s permission, to a secure vault that holds the company’s detailed business plan, PowerPoint presentation, or video presentation.
“The investor looks at the nuts and bolts of the company and if he likes what he sees, he contacts the entrepreneur,” says Honeyman.
Honeyman says investors may also use the site to network with other investors and possibly put together co-investor deals.
NuQuest sees numerous potential revenue streams in addition to subscriptions, he says. “If we see a company comes in that gets pinged five times and gets five fails, we may get back to them and suggest repositioning the company to tell the right story. We can get consulting fees, equity, warrants, and PR fees. We’re also looking at affiliate relationships, promoting events, and reseller programs.”
“Lots of people like to do the glad-handing and lunches and events and we’re not trying to take that away,” says Honeyman. “We’re just trying to provide a broader scope of dealflow.”
Founded in 2000, NuQuest is primarily a business development-consulting firm. “That’s our mainstay,” says Honeyman.
It provides guidance to early stage and emerging growth companies so they can fulfill their business plans, locate necessary capital, and have a clear exit strategy.
On the Web: www.nuquestinc.com
Southeast Venture Conference, February 29 – March 1, 2012 at the Ritz Carlton in Tysons Corner, VA – Where Smart Money Meets Smart People.
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