Once an entrepreneur has submitted the company’s information to TVA via the online Qualifier or the Fundability Assessment, TVA begins its analysis of the submission. The TVA input process acts as a structured reverse engineered business plan designed from the investor’s perspective. TVA’s proprietary methodology for receiving data from an entrepreneur enables us to review the company’s value proposition in a structured way without the time consuming reading of a business plan.
The first step in our analysis is to assign the company to one of twenty-four models based on the company’s trailing twelve month revenue, saliency of intellectual property, industry grouping, need for capital and whether the company has attained break even status. Each model has a uniquely weighted scoring approach which is utilized to generate the radar graph and Fundability Score.
Every analysis of a company is applied to twelve categories common to building a business and then each is reflected against the “ideal” model as a component of the radar graph.
The analysis is conducted by a combination of senior management, industry experts, MBA student interns and organizations affiliated with TVA. Within each dimension, TVA has a database of strengths and weaknesses generated through our experience over the thousands of companies TVA has previously assessed. Each of these elements has specific weights associated and the degree of “fit” or “non-fit” and, collectively, it all translates into a TVA SCORE. These value enhancers or detractors are identified and discussed in the SCORE report that is provided to each client purchasing a Fundability Assessment.
Two highly valuable tools provided by the Fundability Assessment are TVA’s trademarked radar graphs:
The first compares the company to the “ideal” for the category utilized to assess the company. A greater amount of red is an indicator that investors will see more red flags in considering the company.
The second radar graph compares the company’s score on each of the twelve dimensions to the average score achieved by all company’s rated by TVA in the same category and industry.
Finally, the results of the analysis are synthesized into a single TVA Score. The graphical representation of this is presented in the Fundability Curve shown below: