Most of times, one of the key steps of each Investment Process is estimating the budget (sometimes called the "Bid Budget") for a deal and getting it approved by the Board. At first, you should identify, if possible, who are the advisors who will help you for that deal and for doing what, for example a technical due diligence. Then you'll write down a schema with the numbers for each Advisor, plus a "reserve" row of unexpected costs. You'll end up working with Excel and doing some simulation of the total budget, then you'll submit it to the board.
inPrivate DealFlow, in the workflow-enabled version, now implements this budgeting process, with many benefits:
- You can create unlimited versions of the budget for each investment
- Each version can change its status up to "approved from the board" (and it will be locked).
- The system stores all the versions of the budget for audit purposes
- When you sign a contract with an advisor, you have to link the contract to its budget
- A contract linked to the Bid Budget cannot be modified.
- The payment approval process is now totally under control because budget, contract and invoices are linked (and locked) together
Interested? Request a demo of inPrivate Software