Volvo Technology Transfer has actively contributed to the development of growth companies since 1997. Over the years we have developed a process for investing in and growing ideas and companies. Our investment process has five different stages:
Identify
Finding the right investment requires looking at a great number of prospects.
VTT’s reputation, network and access to Volvo’s expertise generate a high quality deal flow.
Over the years we have become highly efficient in sorting out the potentially golden eggs from the merely interesting ones. This highly effective process means that we are able to rapidly narrow and replenish our deal flow.
Analyse
VTT’s analysis process is much like candling an egg.
We use our expertise to gain deep understanding of a company in an effective manner, determining which companies to invest in. We sort cases as quickly as possible in order to focus our time on the more interesting companies.
We familiarize ourselves with all aspects of the business, its market, and its technology, providing an excellent basis for investment decisions. The experience represented by our over 100.000 Volvo colleagues around the globe helps us add crucial knowledge throughout the process, and makes us one of the most competent partners for evaluating industrial and automotive business ideas.
Invest
Just as an egg in its nest needs care and attention in order to survive, a developing company needs the right conditions if it is to have healthy and successful growth. That’s where our investment process comes in.
Together with our syndication partners, we invest our resources in a company’s future. We use our experience from previous investments to establish a solid foundation and structure for growth and governance. We are known for being firm on terms and conditions but fair in negotiations.
Aligning interests and agreeing on prerequisites among all parties lays a solid foundation for future activities.
Develop
During the Development stage we use our expertise and network to uncover the golden egg that we saw there all along. VTT supports the company as it grows and matures and we have the strength and perseverance to give this process the time it demands.
We always take an active role in activities and operations of our companies. Developing a company is all about finding the balance between management and coaching, about nurturing, about teaching, and about creating fun and rewarding relationships with the companies we invest in.
Exit
Having developed and sold a number of companies we know it’s often easier to invest in a company than to harvest its potential value.
The Exit process is the most difficult stage of the entire process. Timing and exposure to the right buyers are critical if one is to successfully capture the value of a company. It is in this time-consuming and risky stage that our structured method truly pays off.
VTT’s approach has been successfully proven in several cases and we have built a reputation for not only building well, but selling well.