NCN Selection Process & Committee
Applications to present at NCN meetings are evaluated and rated independently by most of NCN’s 40 selection committee members. The committee then meets, validates to-be-invited companies, determines prospects requiring further follow-up and assigns a prinicipal to engage with candidate companies. Once companies are selected, principals are assigned to be a lead ‘mentor’ to presenting companies, offering support in business planning, document preparation, presentation materials, matched introductions and meeting follow-up.
Nutrition Capital Network Screening Process
Presenting Companies are professionally screened by Nutrition Capital Network Principals. NCN Principals and Selection Committee members each have over 15 years of experience in the nutrition industry. Typically 80-100 business plans are reviewed in preparation for an NCN meeting. The top 18-24 applicants are invited to present and are professionally coached prior to the meeting.
Tips for Presenting Companies from Two NCN Investors
- Be concise about what your company does: the elevator speech
- Be honest (in general, and about where you are in terms of your company positioning and evolution and where an investor can hep you get to be)
- Describe in detail your competitive advantage and the barriers to competition (but don’t ‘badmouth’ competition)
- Explain the strengths of your management team in specific terms
- Be sure to explain the points to achieve your “proof of concept,” especially if you’re an early-stage company, and remembering that an investor may have a different scale
- Clearly define how much money you’re looking for and your use of proceeds
- Think about it answering the question “Why would a buyer be excited about my product?; and be concise
- Think from an investor’s perspective
Quantify the Market Opportunity
- What sis the size and growth of the addressable market?
- Define competition—you always have it
Demonstrate that Your Management Team is “Backable”
- Team may not be fully built out, but a solid core is critical
- Why is this the right team to exploit the market opportunity?
- Recognize that the ideal team differs based on stage of company
Illustrate that Sell-through is in Excess of Retailer Hurdles and is Trending Upward Over Time
- Most investors are data-driven, so access to this information is important
- Use this level of detail as a basis for the assumptions with which you build your forecast
Detail Use of Proceeds and Show that Funds will be Deployed in High ROI Initiatives
- Differentiate between start-up capital and expansion capital (very different risk profiles)
Choose the Right Partner
- Relevant experience to help you grow your business
- Make sure interests are aligned
- Potential exit strategies should be discussed in advance
Focus on a "Fair" Valuation
- Getting every last dollar in an early fundraising has little implications to long term value (this goes both ways)
- Beware of “angel valuation trap”