1. HOW TO INVEST IN TECHNOLOGY BASED STARTUPS @ashirben @SYDVentures Andrey Shirben www.SYD.vc

2. WHAT DO WE INVEST IN? MiningReal EstateFinanceTech TraditionalNot Really “Safe”Hell No ROIBinary Term7-10 years Avg. Investment 10K-10M Portfolio Share ??? 2 Andrey Shirben - SYD Ventures

3. WHY TECH? Investing in Tech is usually more about investing in people rather than in ideas While it’s a high-risk investment – it can generate a higher upside (when it’s successful of course) Making a real contribution to the world of science/technology 3 Andrey Shirben - SYD Ventures

4. SAY GOODBYE TO YOUR MONEY The healthiest approach for tech investments 4 Andrey Shirben - SYD Ventures

5. THE TEAM Most valuable part of a start-up company Can make/brake the idea Need to be highly motivated, hungry for success & ready for some shifting Experience is overrated 5 Andrey Shirben - SYD Ventures

6. THE PRODUCT (RISK ANALYSIS) Why? What’s the pain? What’s the business model? Is the market big enough? Is there enough marketing budget? 6 Andrey Shirben - SYD Ventures

7. BE CAREFUL OF: Hockey Stick Graphs Solutions to non-existing problems Viral promises - it’s not that easy… Do your own market research – ask around, consult with people that understand the specific industry 7 Andrey Shirben - SYD Ventures

8. DON’T BE SCARED OF: Young, inexperienced team – most likely they will do anything to prove themselves Technology – technical risk can typically be handled, while market mismatch can not… Lack of short term revenue In short - follow your instinct 8 Andrey Shirben - SYD Ventures

9. WHEN TO INVEST? Pre seed Seed Series A Series B … Pro’s & Con’s of investing early vs. later 9 Andrey Shirben - SYD Ventures

10. VALUATION No one actually knows Traditional methods surely don’t work Whatever you’re willing to pay 10 Andrey Shirben - SYD Ventures 1,000,000

11. INVESTOR’S APPROACH Think about the best interest of the company Respect the entrepreneurs Aim for the long term Don’t spend much time minimizing the downside 11 Andrey Shirben - SYD Ventures

12. THE PORTFOLIO APPROACH The roulette rule Let the statistics work for you, not against you Vertical diversification Geographical diversification Stage diversification 12 Andrey Shirben - SYD Ventures

13. “NEVER IGNORE A GUT FEELING, BUT NEVER BELIEVE IT IS ENOUGH...” (ROBERT HELLER) Andrey Shirben Andrey@SYD.vc @ashirben @SYDVentures www.SYD.vc