Vetting Investors

Raising capital can be one of the most daunting tasks for beverage entrepreneurs. Because of the limited routes to finance for new companies, it is often thought that angel investors and institutional firms have the ability to pick and choose investments at will. However, Michael Burgmaier, a managing director with investment bank Silverwood Partners, explains that the selection process between investor and entrepreneur should be a two-way street. Burgmaier, who has raised capital for numerous beverage companies and clients, explains that entrepreneurs need to be keenly aware of the potential synergies and pitfalls with financial investors well before any contracts are signed.

Watch this short video as Burgmaier discusses how building personal relationships and a company’s long-term management strategy are critical to the process of vetting potential investors. And for much more on finance and investment as well a range of other topics about the beverage industry, visit, BevNET’s on-demand video learning site.