| Investment Criteria
Thompson Clive avoids the approach of investing in a
number of high risk situations in the hope that a big success will pay
for the failures. The aim of Thompson Clive is to have solid successes
through the identification of investments with high growth potential in
international markets. Our approach is consequently cautious and no investment
is made until a thorough examination has been completed.
The main questions considered before investing in a
client company are:
· Does a growing market exist for the company's
products and services over the next five years?
· Are the company's products strong in the
marketplace and do sufficient barriers against competitive entry exist?
· Are the gross margins high enough to achieve
profitable growth in that market?
· Is the management of sufficiently high calibre?
· Does the potential exist for a substantial
return on investment?
· Is the risk of failure acceptably low?
Positive answers to these six questions are normally
needed for Thompson Clive to invest.
Thompson Clive welcomes enquiries, whether for management
or investment assistance, from a company's principals or from intermediaries
representing the company.
While preliminary enquiries may be made on the telephone,
experience shows that a brief written proposal is more satisfactory. If
we believe we can be of assistance, meetings with management will be arranged
to begin a thorough evaluation.
Recognising that arranging management and investment
assistance can be a time consuming activity for all concerned, we strive
to give a prompt preliminary response.
Once involved, we aim to maintain a close working relationship
with our clients until the mutually agreed objectives have been achieved.
An ability to work with a client's own staff is an integral part of our
operating style.
Finally, we seek continuing relationships with our clients.
Such relationships must be founded on the quality of results produced,
on mutual confidence and trust and on a true spirit of partnership. |