Step 1 – Application

Entrepreneurs/companies seeking investors, who believe their project corresponds to Investment criteria of Prvi sklad, or who are interested in RSG Capital’s services can present their business proposal by filling in the form on our web page. Based on the information provided in the form, our team evaluates the business idea against Investment criteria and checks whether it is within investment focus of Prvi sklad.

Since the primary evaluation of the proposal is based on the information submitted in the form, entrepreneurs/companies are advised to give as extensive information as possible. All information RSG Capital’s team obtains in this manner are considered confidential. Entrepreneur/company is informed of the team’s decision concerning further steps via contact details submitted in the form.

Step 2 – Presentation

If the application is considered to fulfil Investment criteria of Prvi sklad, you will be invited to present your project and your team to our team. The presentation shall give the information on what is your product/service, who are you selling to, current status of the idea and, in particular, what do you expect from RSG Capital or Prvi sklad. The presentation should take 15 to 25 minutes, followed by questions and answers and discussion.

Step 3 – Due diligence

After the presentation the team decides whether to continue with further investigation of the business proposal. If the decision is to continue the process, presentation is followed by due diligence of the team and the idea. Based on the findings and observations of due diligence, RSG Capital prepares draft term sheet for further co-operation, which is then subject to further discussions and negotiations.

Step 4 – Presentation of the proposal to Investment committee and decision

When Prvi sklad considers provision of equity financing to a certain company, investment team of RSG Capital prepares a proposal of further steps and terms and conditions of further co-operation, or else, proposes the project to be rejected. Final decision is made by Investment committee, which is an independent body, providing more objective and independent operation of RSG Capital and Prvi sklad.

Step 5 – Formalization of cooperation

When Investment committee accepts the proposed cooperation, next step is preparation of legal documentation, i.e. final term sheet and amendments to existing shareholders’ agreement and its potential supplements, defining obligations and rights of shareholders in more detail

Step 6 – Project monitoring

Reporting to RSG Capital and/or Prvi sklad is already defined in the shareholders agreement, Since Prvi sklad is an active investor, contributing to achievement of the stated goals and successful performance of investee company, it typically appoints a procurator or a representative to a supervisory or advisory board of the investee company. Typically, reporting expected from the investee company includes management and financial reports as well as active participation in strategic decisions.

Step 7 – Exit

Prvi sklad invests in companies for a target period of 3 to 5 years, possible exit strategies being trade sale, buy-back or IPO. Expected exit strategy is already defined at the time investment is made. While exit strategy is usually not changed, the investment period is adjusted to capture the optimal timing considering market conditions and development of the investee company.

Procedure described above is typical in case Prvi sklad invests equity in a company. When particular project is supported by RSG Capital and its services, terms, goals and milestones for particular project are defined with a special agreement, while procedure is tailored to each individual project.