1. Screen Yorkshire and 4iPInvestment Workshop10th July 2010Andy Tait – Partner - Pembridge Partners LLPandy@pembridge.net

3. Work across; digital, creative, media and related technology sectors

5. Customers are King Clear targeted products/services that solve real pain Real validation of your market is vital

6. Find & Know Your Competition Think laterally Not just companies Consumer behaviour: Inertia Habit Other products/services We need to know that you know!

7. Team TeamTeam Investors do not fund business plans or great ideas Ability to execute Sector experience Your CVs?

8. “I need £1m to start with” 22-02-2010 Sure way to dilution – now and in the future Start with smaller amounts and use the cash to further validate your proposition Increases your valuation each time by setting clear inflection points A New Co Ltd 1,000,000 One Million Pounds only U N Likely

9. Other Things We Don’t Want to Hear “I have a killer product – the customer will come” “We will reach our customer by viral marketing” “I will use partners to sell my product” “Our quality is superior”

10. Investors are Not Risk Takers The higher the risk – the higher the % you will have to give away Your job is to prove you have mitigated the risk

11. Adhere to the Fundamentals Validate the market Assemble a great team Develop a profitable business model Execute as perfectly as possible

12. Games Company Case Study Founding director funding, growing, profitable, new 3D technology developed Business angel investment, high growth software and exit experience, not sector Further growth, new market developments, IBM venture funding IPO ARM Holdings investment + licence for mobile Sold to Glu Mobile 2008

13. Lessons Learnt Proven business and developed new technology de-risked investment Angels enthusiasm and contacts can be incredibly valuable Many avenues for investment, killer differentiators can be strategically important Taking money in will change your business and the people involved

14. Games Investing Today Many opportunities in games and online entertainment Look at the macro picture, digital distribution? Build for it What other skills or understandings, new proven business models? What support or other offerings are there that could even out the hit based nature of the business Differentiate, differentiate, differentiate (not another iPhone/Facebook developer, please.....)

15. Thank You! Andy Tait - Pembridge Partners LLPandy@pembridge.net