Venture capital firms typically follow a due diligence process when evaluating potential investment targets. That means founders and their businesses are carefully examined, so the startup team should be aware of how to deal with it. Usually, the process at Leta Capital involves seven steps. Here are those steps, along with what entrepreneurs should know about each one:
1. Initial screening
Initial screening is carried out to identify if the startup has the potential to even be under scrutiny. Once the connection between the founder and the investment analyst has been made, the first stage of due diligence typically begins right away.