Keiretsu Squared is here to serve two groups in two ways: we both actively build best-of-breed investment opportunities with executives and, moreover, we reduce the risk of private-equity investing for investors.
Keiretsu Squared’s mission is “To Radically Accelerate A Company’s Path To Market Growth and Liquidity.” We actively build best of breed investment opportunities, taking companies from high potential to rapid growth. And, by doing so, we protect both Keiretsu Forum members and other investors.
We achieve this through several types of programs. The material below covers specifics, team biographies, and the application process for each of these.
Keiretsu Squared’s programs are open to all companies, including but not limited to Keiretsu Forum portfolio companies and applicants.
Creating Alignment Between Investors and Executive Team Members
We encourage both investors (on behalf of all of their portfolio companies) and executives to conduct a team alignment exercise using the Company Overview form for our K2 Velocity Program, downloadable here. Once the executive team gathers with each other to review both each individual’s responses and their investors’ responses, new ways of looking at what might limit and expand growth will emerge.
Quantifying Risk Reduction
Early stage private equity investing … and entrepreneurship … carries very significant risk. Investors can loose their principal, or receive only a nominal return due to dilution. Entrepreneurs may end up only “richer for the experience.” So, why can we make such bold statements about accelerating the path to a return when we work with companies?
By simply quantifying the value of time.Read More
The Angel Resource Institute’s 2016 HALO Report noted that the overall cash on cash multiple for the period studied is estimated at 2.5x Capital. The average holding period has increased by 25% since the prior study to 4.5 years. This leads to a gross IRR of 22% across all losses and successes. But, the report found that the biggest wins typically took nine or ten years to complete.
Simply decreasing that average time by three to six months significantly increases IRR. Shifting the time until liquidity for investments that take eight years down to even as long as seven, or six, years also significantly increases IRR. Also, faster results enable investors to re-deploy capital sooner for other investments. And, reducing the risk of follow-on investors mandating terms that increase dilution to earlier investors is critical.
Broadening a company’s own internal team with an interdisciplinary team that sees blind spots and anticipates the challenges ahead … and then uses a concerted, planned, interdisciplinary, comprehensive, and even global approach that exceeds what entrepreneurs can do within their own teams … maximizes effectiveness, increases speed, and reduces risk. The contacts and resources within the Keiretsu network add even more value.
International Development and Market Entry Program
The K2 Velocity Program is a global program open to companies around the world. Additionally, we create programs designed specifically to enable executives from around the world to launch their products, and also new divisions of their companies, in the U.S. while they focus their time on running their companies abroad.Read More
Depending on the Participant’s objectives, Keiretsu’s customized and personalized international development programs incorporate and include the active participation of any, or all, of sales and business development executives, Specialists from among the K2 Velocity Program’s Team Members, and, San Francisco and Silicon Valley based attorneys.
Our approach will most always include using U.S. based sales, business development, and marketing specialists to secure sales, product distribution, alliances, and strategic partnerships in the U.S. market. In some cases, it may be better to also launch subsidiaries or divisions of companies in the U.S. through the addition of seasoned and experienced U.S. based executives and lawyers.
K2 Velocity Program
The three-month long K2 Velocity Program brings each Participant an interdisciplinary group of experts who work hands-on in a cohesive manner to both solve the challenges companies face and proactively address the problems they may eventually face.
The Program’s detailed schedule and structure is in the full Program Overview.Read More
Each participant’s senior executive team works sequentially with different types of Specialists. Some Specialists work in sub-teams, so Participants benefit from the wisdom of several Specialists with experience in a specific specialty. Moreover, the entire K2 Team of Specialists is in continuous dialogue about all Participants, passing specific directions about what actions other Specialists should take to assist Participants.
Concurrently, Specialists lead weekly, working conference calls that include all current Participants. The content of each call is developed specifically for the Participants on the call, based on the content in the Company Overviews, the individual work in progress with each Company, and the recommendations of the other Specialists. While some educational content may be covered, the bulk of the calls involve working on solutions for Participants’ specific situations.
The K2 Velocity Program is sequenced to increase each Specialist’s effectiveness with Participants. The Team functions as a cohesive unit, yet each type of Specialist fulfills a specific element in maximizing the fulfillment of each Participant’s full potential.
An intangible part of what we do in the K2 Velocity Program is identifying and proactively addressing blind-spots. This, along with the overall approach, produces changes in trajectory that come about quickly and can create non-linear growth. The smartest, most experienced, most accomplished, and wealthiest entrepreneurs know that they cannot help but miss seeing options and alternatives when they are focused in on addressing immediate challenges.
Sales Implementation Program
Investors and CEOs during series A and series B stage development face a common problem … and potentially costly risk.Read More
We help our Participants cover their bases. We are ready to put in place quickly a sales team (not just one or two sales people) from any industry, all of which can work concurrently for the company. That means our Participants are not dependent on making one choice the right choice.
Then, our Sales Development and Sales Implementation Accelerators draw from the comprehensive sales component of the Velocity Program. We put in place the best of Keiretsu Squared’s sales processes to help the sales team be more effective … faster.
Management Team Program
Keiretsu Squared’s Management Team Program addresses two of the most critical needs faced by early stage companies: time bandwidth and the balance between expertise and capital.Read More
Though leadership at this stage is generally being pulled in multiple directions by multiple priorities, companies at this stage can only grow revenue faster than they deplete capital through leveraged and massive action guided by expertise and wisdom from solid executive teams. What happens during this critical time affects a company’s valuation and a shareholder’s potential dilution when the time eventually comes for follow-on financings. Yet, the cash available during this phase rarely supports the expense of a comprehensive and complete executive team.
Keiretsu Squared’s customized Management Team Program solves this paradox. Keiretsu Squared brings full management teams with on-point expertise into companies to join founders and manage this race. The team is supported by participation from various members of the Keiretsu Squared Velocity Program Team, providing some or all of the expertise that companies might have to pay large retainers to obtain from companies that provide P.R., Branding, Legal, Marketing, and other services. Collectively, we handle this stage and build the company to the point at which it can attract its permanent management team.
Participants in Keiretsu Squared’s international and management programs receive the benefit of two sets of experts. These programs include both executives matched specifically to each Participant’s industry, market, and stage of development and, also, active participation from the team of Specialists that work through the K2 Velocity Program.
The K2 Velocity Program’s Team of Specialists includes the following and many more experts:
Read More About Our Team
Finance Acceleration Team
Keiretsu Forum Members Selected Based on Industry Expertise
Sales Development Accelerators
Sales Implementation Accelerators
Lead Operational Management Accelerator
In partnership with Industry Specific Management Specialists Through The Marin County Chapter of the COO Forum
Human Capital Accelerator
Public Relations and Communications Accelerator:
Product Commercialization Accelerator Team
Deal Structure and Resolution Accelerator
Technology Accelerator Team
Life Sciences, Biotechnology, and Medical Devices Accelerator
Applied Material Sciences and Automation Accelerator
Clean Technology Accelerator
The K2 Velocity Program’s Team of Specialists includes:
The role each of these Team Members fulfills is detailed in the K2 Velocity Program Overview.
There is a common thread to everything Keiretsu Squared does. Keiretsu Squared is a premier business accelerator that helps take business from high potential to rapid growth. Yet, unlike traditional “accelerators,” our team of specialists and executives work hands-on with entrepreneurs, actively participating in building companies. Unlike dealing with business “consultants,” participants benefit from an interdisciplinary, team approach to evaluating, transforming and building companies faster, smarter, and more profitably. Keiretsu Squared is a personalized accelerator that adapts its Programs to each Participant. And, the Team Members for all of its Programs do not just support companies … they participate actively in taking companies from wherever they are to greatness.
Then, we bring-forth the power of the Keiretsu Forum’s global network of highly accomplished members and investors to open doors, complete the deals and transactions that help companies grow, and provide other resources that go far beyond just capital
The Keiretsu Forum Due Diligence Process Handbook
Keiretsu Forum members use The Keiretsu Forum Due Diligence Process Handbook to guide in the process of making investment decisions. At the very core of the process, investors are assessing what has already been done successfully to minimize the risk of failure and what is currently underway (and ready to be implemented quickly) to minimize the extent of future dilution. Our team knows the specifics of what will be asked and assessed during this specific process. Everything the Keiretsu Squared team does is designed to proactively address these issues.
You can download the Handbook here.