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Admit it. Everyone hates repetitive and manual tasks. Success awaits the VC team who can efficiently streamline their process and act on data. So we’re here to help your VC team boost productivity levels, thus enabling you to work on the right focus.
Nowadays, capital is increasingly flowing towards investment quality. More care and scrutiny are taken in each deal. VCs who search for quality investments need to prioritize their tasks and increase productivity in everything they do so that they can work on the right focus – finding the next-to-be unicorn. Venture capital has been a low-tech business, built on emails and handshakes more than atoms and bits, despite investing in high-tech companies. To boost productivity in the VC team, it’s imperative to eliminate manual tasks, refine processes, speed up workflows, and embrace data-driven tools.
If you want to improve your reporting infrastructure, eliminate the manual process and minimize wasted efforts, let’s look deeper into the solutions below:
VC teams are often slowed down by scattered data because they spend so much time either chasing portfolio companies for the data they need or aggregating data that lives in different spreadsheets.
A portfolio monitoring tool can help investors by consolidating portfolio and investment data into a single source of truth. This helps you get a better handle on important metrics like internal return rate (IRR), return on investment (ROI), and valuation.
According to Ana Pinheiro, Operations Manager at MSM, the process of collecting information from various sources and gathering it in one place took the most time and energy.
This sentiment was echoed by Talal Khatib from Access Bridge Ventures, who also expressed the same opinion:
What Rundit can help is to remind companies to send reports and metrics, collect their data, then put all data together in one place. Realistically speaking, these tasks waste a fund manager’s hours of undertaking each month or quarter. Nevertheless, many VCs have overlooked the benefits of an automated reporting process. Automation helps you centralize and analyze data. Accordingly, each hour saved can be re-invested into other value-creation work such as analyzing company growth patterns, screening new deals, or supporting founders, which bring more impact.
It can be difficult to make sense of data and turn it into actionable information, especially without visualizations. Visualizing data helps communicate insights and analysis since charts and graphs can show trends in data—as well as dips and spikes—in a clear, and comprehensible way. When being able to find better insights, in less time, you will be able to form better analyses and make better decisions.
In Rundit, all data is put into one place. Most importantly, company and investment data is accurately calculated, visualized and always up-to-date. According to our customers – MSM VC and Relay Ventures, visual dashboards in Rundit enlighten the VC team with insights, thus are regularly used in internal and external meetings when the team sits together to check up on company performance.
Once you’ve decided on an effective method for automating tasks, make sure you find the right tools and keep everything you need under one roof. Many VCs have built their own VC tech stack which includes a couple of main tools that cover their operational needs. Those can be, for example, reporting tool, deal management tool, portfolio management tool, LP management tool, CRM to name a few. VCs can either go for an integrated tool or a specialized one in each category.
According to MSM VC – a Portuguese impact fund, its Tech stack includes Rundit for reporting and company performance analysis, Excel for investment performance and Notion for note-taking.
Another example of a VC Tech Stack is the one curated by Miguel Pinho, Head of Technology @SeedCamp:
A further instance of this is the map of numerous VC tools essential for investment activities, curated by Francesco Corea:
Rundit can be found in the Tech stacks of many VCs as a portfolio management and monitoring tool, assisting both the VC team and portfolio companies. Rundit powers a source of truth that brings added benefits, namely a clearer view of your portfolio company performance, but also a sense of relief from knowing that you’re staying away from costly human errors in massive Excel sheets. With everything in one place, your team will be able to work on the right focus – forming the right analyses and evaluating investment strategies.
These days, more investment teams are realizing that their spreadsheets and emails aren’t keeping up with the times, and there’s more value in tools like Rundit that can automatically collect, aggregate, and visualize portfolio and investment data, thus facilitating better decision-making. It is clear that unifying portfolio and investment data under one roof will solve various problems and increase efficiency within the VC team.
Join leading VCs who have benefited from Rundit – a place where you can focus on what matters most, striving for investment success!