PE Fund Guide & News

Securing a private equity investment is a huge thing for your company. All that hard work and sweat that was put into the company gets recognised and for most companies securing the investment is a lifelong dream. However, a lot of people fail in securing any kind of funding because of their ill-preparedness or because they might not be the correct fit for the firm which they have approached. The decision of funding a new project or company is mostly finalised by the angel investor who is willing to take the risk and help the company build an empire. A lot of concentration might be given to a pitch but the most important person to impress is the angel investor himself. What Are Angel Investors? Angel investors are usually the one who provide the capital and approve the funding after a pitch. While they could be known as high flying lenders, the investors are more focused on the entrepreneurs’ vision rather than the business’ viability.  Angel investors are also know

In the recent times the safest way of investment is the investment in private equity. Private equity has been pre existent since a long time as the investments were made in this format in all the companies. However, in the last few years it has turned out to be the best medium of investment as this proved to be a risk free and beneficial mode of business. Numerous private equity funds firms have come up in the recent ties who solely imply the importance of equity by purchase sale and investment in only this format. There are various kinds of private equity funding investment in India for different kinds of businesses. Leverage funding is the most common kind of funding in India as most of the private equity firms thrive on this kind of investment. The most general way of buyouts in order to take the control of the company in the hands of the firm. The equity firm may invest in the company to buyout most of the portion of it  with a little bit of investment from them and the

Often referred as “family of alternative investing methods” by business leaders, private equity is a bit complex and multidimensional topic to understand. It typically includes leveraged funds, growth equity funds, venture capital, and many other type of special situation funds.   PE funds in India can be industry specific or can have a focus on specific geography. Let’s dig this subject a little deeper and find out what are the various type of Private equity investments and how they can be used in different cases. Venture Capital Funds : These funds can be further divided into two sub-types—early stage funds or later stage funds. Venture capital investment involves acquiring minority stakes in growth sectors like healthcare, bio-tech, internet, and energy. The basic motto of venture capitalist funds is recruiting the right people, professionalize various corporate functions, and make the functions of the company more streamlined.  Growth equity funds: These funds

Private Equity firms must have great knowledge and must initiate informed decisions to avoid the loss of investment. Still in the nascent stage in India, even the bigger firms are advised to tread with caution. The governance of the investee enterprises plays a significant role in the return on investment. Minimal negligence entails that the firms might lose significant sums of money like many did between 2005 and 2008. However, experts forecast that 2017 is a comparatively good year for private equity firm in India . A majority of the firms are hopeful about this year as compared to last year. Here are few things to keep in mind before investing in firms. Perusal of reports It is a given that the investing enterprises go through the records of the potential investees. However, they must go through the quarterly, mid and yearly reports. These reports are a reflection of a company’s executions and operations. If you’ve already invested in a firm that isn’t performing prope

Often termed as the safest bet in investment business, real estate business can bring a lot of profits if done right. They are safer than shares, bonds, mutual funds or debentures which are subjected to market risks. Here are a few elaborated reasons why real estate investment is the smartest move. India is ready for investment business Growth capital in India has proved to be an excellent and reliable source of profit. Property prices have seen an upsurge in the past 5 years, and will continue to go higher as predicted. The sector might have seen some downfall due to demonetization but likely to pick up the pace once again.   Can be used for commercial or personal purpose A property in the form of a land, building, flat or office space provides a steady stream of income if not used for personal purposes. By renting it out you can yield maximum benefits, and this proves to be more beneficial if the property is in a posh colony. Renting out the property also helps

Even those who are working in real estate business market for long time, find it hard to understand private equity investment. One must be highly aware of what it is all about and what it entails before investing because a wrong move can lead to big losses. To make it a bit clear, private equity is all about raising funds for a company with no obligation of having to pay back the dividend to shareholders. The concept of private equity is vast and complex, though through good research and understanding, one can make some good investments. Here are a few points to keep in mind while making some investments in real estate India . Read on to know more.      Know the company well before making investment Before investing in growth capital India , ensure that you know the company well. Consult regular reports and enquire about cash flows etc., take note of the audits as well. Cross check for your safety as it is a prime concern. You can’t let your funds go waste in any cas

The real estate market functions on a cycle and having some information on each phase will be a great benefactor to investment decisions. You’ll also have a good idea on the possible risks with every transition. There are several advantages of commercial real estate that are special. Investors can invest across all the phases of the cycle. With some research you can make out whether the market is descending or close to a transition etc .  Private equityand real estate investment  are two very different classes. The holding periods, return expectations, capital improvement timing, exit strategies are examples that can help you make informed decisions. Do you research on the following phases of the real estate cycle. Recovery The spatial demands are low and the velocity of leasing the property is minimal. This affects the occupancies at best. The rents are at a low and new projects are unlikely to be undertaken during this phase. The guise of recession makes it diffi

Many people talk of private equity and its implications, but only a few understand what its actual meaning. Private equity basically stands for the equity that is valid only for private companies and cannot be traded publically. Due to regulations these equities cannot even be listed publically. Private equity funds are therefore made of several firms that invest directly in private companies or entities at varied stages. Even foreign investors go for private equity investment in India for private equity funding and investing because investing in private and future companies with a stellar business and revenue model maximizes the return on investment. It is best to capitalize in growing companies that have the potential of making it to the Initial Public Offering. Private equity firms are divided into two types on the basis of investment strategies- venture capital investments and leveraged buyouts. Let’s understand them in a bit more detail. Venture capital invest

Real estate is usually subject to various opinions and prejudices. One being that the market is likely to enter another 8 year real estate cycle. The investments in the sector are ever increasing, but brokers and managers are still witnessing strong competition for deals and transactions. Real Estate Private Equity is an asset class consisting of equity and debt investing. The investing involves strategies for development and based on a pool of capital from investors. The factors that are affecting the real estate trends in real estate private equity are: Stock Market Volatility The past decade or so has unveiled a lot of hidden aspects of the stock markets. Volatility is an inevitable aspect of the markets. The financial crisis across the globe affected most buyers and sellers and their ability to spend. The Indian RealEstate witnessed a clear fall in sales after the meltdown. Technology Technology plays an important role in the operations of any sector. The intro

What are 'Distressed Securities’? When a company is going through or close to bankruptcy it issues financial instruments that are called Distressed securities. Since the concerned company has failed in meeting its financial obligations, the distressed securities are low in value, but they offer investors high potential returns because of how risky they are. Growth capital in India or any other developing country is an alternate option to improve the situation of your firm. But that must be sought for at a suitable period. Distressed securities may consist of common and preferred shares, bank debt, trade claims and corporate bonds.  BREAKING DOWN 'Distressed Securities' Distressed securities generate interest of investors who are on the lookout for a bargain and thus are open to risks. In a few cases these investors anticipate their investments to increase in value since they believe that the company's situation is not as bad as it look.During other sc

According to industry experts, the venture capital market is full of unexpected ups and down. Before making any kind on investment one has to be extremely vigilant of the consequences. A wrong move can cost one huge bucks which is why it is extremely important to be good with research. Investing in real estate funds in India can be extremely tricky. Some of the quintessential of being successful in this domain are being well-versed with the fundamentals. If you are new in this field then here are the things that you must know.   Start off by taking right decisions: The only thing that works in this market is making right decisions and right investments. There will be times when you might have to take tough decisions but be very calculated about all the repercussions that come with it. Once you have made a few good profits, you can set your foot firm in the marketplace. Private equity fund investment is no child’s play and you must act intelligent to nail it.     Make a S

A career in private equity will give you mixed opinions on whether you should embark on this journey profession or stay away from it. Over the past few years, the entry-level jobs have risen and many freshers have found jobs as associates. Don’t worry if you’ve landed such a job or looking for one. It can surely be intimidating to work for firms that deal in crores of currency, but with a few tips you can pull up your socks and be ready for what’s to come. No easy way out Be the associate who takes the responsibility for stuff and does all the hard work others don’t want to. Those who get their hands on the dirty deals instead of the highly coveted deals in the business come out clean on the other side. You might find yourself alone at times and be criticised for wrongs and never appreciated for the right stuff. Get on it with and get in for the long haul without fretting. Be on best behavior Jobs in private equity will put you in a position where you’ll have in

Private Equity is an important term in financial markets but it’s a little too technical to grasp for everyone. To put it simply, private equity is a constitution of firms and individuals who tend to take public firms and turn them into private firms after acquiring them. It is the delisting of firms or enterprises from the public stock exchanges. Private Equity funds are quite important in the economic growth of a country like just like the concept of real estate fund . India is proceeding towards a bright future in private equity and real estate. If you’re interested in learning about this type of equity, you must take a look at the following strategies: Venture Capital Venture capitalists search for start-ups or young enterprises with a little or no history of profits. The main motive is to invest in promising companies to generate high profits and eventually exit the firm. There is certain amount of inherent risk in investing in small companies but, the investing firms

Most of us get confused when we hear the word, ‘private equity’. Even those who have been working in the corporate world and real estate market for quite a while find it difficult to understand that how do private equity in India actually works.  To make it simpler, private equity investors basically have three major functions to do—raising money for the partners, sourcing and closing the deals, and improving the operations. Let’s understand the working dynamics of private equity investors in a bit more detail.    Raising Money : Raising money is one of the most challenging jobs for any equity investor. Usually, they rely upon external institutes such as LPs (Limited partners) for raising money. Sometimes they also invest in real estate funds to get returns but they mostly rely upon the limited partners. Sourcing and closing the deals: This part may not be as challenging as raising money but a very critical one. Acquisition requires the investors to do a good amount of r

Investing in real estate returns the capital with huge profits. It requires diligent involvement in the pertaining affairs such as the legal, monetary and managerial aspects. These things make investing in this area much tougher comparatively. Consequently, obtaining real estate funds is not as easy as acquiring loans for personal or professional reasons. One of the biggest advantages of investing in real estate as compared to stock markets is that properties in real estate cope better even in an economy headed south. The elementary or the most common type of investment is simply buying a property and renting it to a tenant. The alternative to renting it out is holding on till the circle rates increase and selling the property for a profit. This entails all the expenditures such as taxes and property maintenance on part of the landlord or owner. Landlords do include these expenditures in the rent agreements usually. Real Estate Investment Funds – Investing in funds prov

Business investments can be of various  types. People make the investment of their own money into  mutual funds so  as to earn from them after the funds mature. People also invest into stock markets to  earn from the rising prices of the stock  by selling  them on the right time. Private equity investment is one of the many methods of business investments. This is considered as one of the safest methods of investments as you own a percentage of the company and the profit can be good if you have a good sense of prediction, analysis and business sense. Private equity fund gets you a direct leverage on the company and the percentage of ownership is directly proportional to the amount of funds invested. In a startup ora new company, when a venture capitalist invests in a project they make the full investment; however they share the percentage of equity with the other members who would be among the board of directors. Ofthe company. In case of  leveraged buyouts 100 percent of t

Investment business is one of the most profitable sources of good income in today's world. There have been several kind of investments which  have brought fair amount of success to many industries. Stock market investments and mutual funds are some of the examples which have proved themselves profitable to many individuals. But these are the types of investments which work on ground levels.  Private equity has played a major role in business investments  and a major capital flows in several industries has been because of it.  Private equity evolved in 19th century in the European corridors and since then it has seen many booms and busts.. Eventually, the private equity business has achieved stability and entered into the markets of all developing nations.  An important sector through which  private equity has influenced the economy of India is  the real estate funds . Real estate is one of the fastest growing business sector in India. Due to  the high population and growing

Private equity slowly entered the  business market in India through foreign investments and made a very impressionable mark in the industry. The most important section of private equity which caught the eye of the Indian market is the venture capital. Right about when the startup culture was starting in India, the venture capitalists entered the investment sector through foreign direct investment and made many small budding businesses hugely successful in India. Some of the examples can be seen in the leading Indian online stores and e-commerce businesses.   The growth capital has also done incredibly well in the Indian market helping many businesses to flourish and expand their verticals in many fields. The growth capital in India came as a necessary tool for established businesses and organisations which were looking for safer investments in their business so that with affordable returns they could experiment in the other aspects and grow as a unit. Private equity being a natu

Often referred as “family of alternative investing methods” by most business leaders, private equity is a bit complex and multidimensional topic to understand. It typically includes leveraged funds, growth equity funds, venture capital, and many other type of special situation funds.   The private equity funds in India can be industry specific or can have a focus on specific geography. Let’s dig this subject a little deeper and find out the different kind of private equity funds.  Venture Capital Funds: These funds can be further divided into two sub-types—early stage funds or later stage funds. Venture capital investment involves acquiring minority stakes in growth sectors like healthcare, bio-tech, internet, and energy. The basic motto of venture capitalist funds is recruiting the right people, professionalize various corporate functions, and make the functions of the company much more streamlined.   Growth equity funds: These funds involves investment in more

The world of private equity is all topsy-turvey. What might be relevant for today may not make any sense few months later. It is important for investors to be on their toes most of the time so that they do not have to bear any losses. Here are five important tips that private equity investors can apply to make right business decisions.  Keep on transforming your business: In order to drive profits, one should always keep on making changes in their business from time to time. A right strategy is required to drive growth. Prices of Real estate in India are all time fluctuating and changing your business investments accordingly is imperative to keep your business stable. Hunt for the right opportunities: Private equity market in India is driven by right timing. If you are planning to invest in PE funds in India then you must do it at the right time. Try to fetch the right opportunities and also keep yourself updated with what your competitors are doing.    Have experts on your

We have heard the disclaimer for the mutual funds investment for a number of times  on television radio but have we ever tried to decipher what they actually mean. The disclaimer states ’Mutual  Funds Investment are subject to market risks. Read the documents carefully before investing’.  With any sort of market investment there is always a risk associated with it; however,  the private equity investment is one of the  least risk  business investments in the world. Private equity funding is one of  the most nascent methods of investment  in the business world but they seem to have  taken over the world of capital investments.  The three major variety of private equity in India are: 1. Growth funding: 2. Leveraged Buyout and 3. Venture capital Growth Funding: This types of investment is done to help a company develop new business verticals. This generally happens in the companies which are already established and only lack some  capital to invest in a new section they would

Private equity is one of the industries which has continued to show promises of rise although it had a very turbulent past. This is one Industry which has helped many companies survive by its investments in the right projects which  had the potential but were succumbing to lack of capital . Many of the popular companies in today’s date like Facebook, Instagram or even apple has survived because of the contributions from venture capitalists. Many weathering out industries received buyouts from major firms and were able to resolve their disparity.  Private Equity Firm India The upcoming year has a lot hidden for the private equity sector and here is a list of future predictions are about to happen: Private Equity will Continue to Rise The interest rates of private equity sector is about to be very same as those in the times of its busts, however the returns are expected to rise. There are new allocations and industries which have chance to flourish under the investment of pri