How we work — Two Magnolias

OUR QUESTION

We expect that any company approaching Two Magnolias to be able to provide answers to this question grid.

Is your company solving a real and identifiable problem?
Is your company building the right solution with the right strategy?
Is your team equipped to solve the problem?
What is your company’s USP or superpower?

Our diverse portfolio covers themes through all sectors of sustainability and human health. We invest in early stage, British based companies that fall under these two pillars. We are focused on identifying companies who have created transformative … — Our diverse portfolio covers themes through all sectors of sustainability and human health. We invest in early stage, British based companies that fall under these two pillars. We are focused on identifying companies who have created transformative solutions to the world’s most pressing and complex problems. These companies should have the potential for strong recurring revenue and globally scalable models. We will not consider investments outside our two pillars.

We are committed cornerstone investors who aim to play a wholistic role with each company we choose to partner with. We expect to help at Board level, via our team of experienced and trusted advisors. Early stage companies have to swim against a fer… — We are committed cornerstone investors who aim to play a wholistic role with each company we choose to partner with. We expect to help at Board level, via our team of experienced and trusted advisors. Early stage companies have to swim against a ferocious tide, and we expect to be in the water with all of our Magnolias.

As early stage investors we understand the difficulty in using a forced, rigid investment approach. Two Magnolias decisions will be based on Inductive and Deductive techniques that fall within our unique approach of Intuitive Analysis™.

Regardless of our investment decision, we commit to share our analysis with the companies that progress to the final, pre-IC stage. We understand and respect the value of a Founders time and we will always give back any help and advice we can t… — Regardless of our investment decision, we commit to share our analysis with the companies that progress to the final, pre-IC stage. We understand and respect the value of a Founders time and we will always give back any help and advice we can through this arduous process.

We are a dedicated Impact Investor with a social conscience that knows it can bridge the gap between traditional Venture Capital and a new generation of Entrepreneurs. At Two Magnolias we are disrupting the current investment criteria that exists in… — We are a dedicated Impact Investor with a social conscience that knows it can bridge the gap between traditional Venture Capital and a new generation of Entrepreneurs. At Two Magnolias we are disrupting the current investment criteria that exists in the world today. We believe in Founders who are dedicated to producing strong financial returns but who are also racing to provide solutions to our planet’s climate and health emergencies.

Our typical investment stage is post-revenue seed through to growth & development capital. We will participate in any raise from £0.5m upwards. Our investment size can range from £100k to £1mio.

We commit to building the necessary conviction around founders, teams and industry. Two Magnolias has developed a set of intuitive criteria which we will use to assess the Founders, their teams and their chances of success.

If we provide a term sheet we would expect on average it will have taken a minimum of 4-5 meaningful interactions with a founder and their team. Between these interactions the Two Magnolias team will run its analytical decision and pricing mode… — If we provide a term sheet we would expect on average it will have taken a minimum of 4-5 meaningful interactions with a founder and their team. Between these interactions the Two Magnolias team will run its analytical decision and pricing models. Our term sheets are subject to completing due diligence. We estimate this can take 2-5 weeks but is heavily dependent on the readiness of all parties.

We are focused on entrepreneurs based anywhere in the British Isles and our investments will be 100% directed to UK incorporated companies that are globally scalable and that have outstanding Founders, Products, Teams and “Superpowers”.

We aim to follow on with each and every investment we make. We enter each new relationship with this strategy clearly in mind.

We use our own set of quantitative models which include an assessment of Cohort Analysis, Market Share Potential and Growth Drivers.

We encourage founders to speak to one of our portfolio founders to best understand how we work. We partner with each company we invest in to establish a direct and trusting relationship. The intensity and frequency of these interactions is driven by… — We encourage founders to speak to one of our portfolio founders to best understand how we work. We partner with each company we invest in to establish a direct and trusting relationship. The intensity and frequency of these interactions is driven by both parties and the needs of the business. As a minimum, we will arrange quarterly meetings with Jessica and Marie directly and an Advisory board member where relevant.