An interview with Tim Berry, a world expert on business planning

Plans are the DNA of business, containing all the base information needed to form a strategic framework for the growth, direction and shape of an enterprise.

Whether you are launching a new business, growing an existing enterprise, or even creating a venture within an existing corporation- chances are the first step in your journey will be the business plan.  In fact, for those wishing to raise money (whether it be seed capital, or venture finance) the plan is certainly a pre-requisite.

Studies have shown that “except in a small number of cases, business planning appeared to be positively correlated with business success…” and that  “while analysis cannot say that completing a business plan will lead to success, it does indicate that the type of entrepreneur who completes a business pan is also more likely to run a successful business” (Ding & Hursey, 2010)

Much has been written on the business plan, and for many- it seems an almost insurmountable hurdle to write (what they anticipate will be) a thesis length piece on ever minutiae of their idea.  The reality however, is far simpler…

To learn more about the secrets of the business plan, I spoke to Tim Berry.  He is co-founder of Eugene Social,  founder and Chairman of Palo Alto Software, founder of bplans.com, and a co-founder of Borland International.  Tim has dedicated his life to business planning. Continue reading →

Guest article written for AllAboutAlpha.com – the official publication of the  Chartered Alternative Investment Analyst (CAIA) Association

Originally posted at: http://allaboutalpha.com/blog/2012/12/04/alpha-hunter-investing-in-travel/

The WTTC note that the travel industries (when taking into account their direct and indirect roles) contribute over 9.1% to world GDP, amounting to over U$6.3 trillion of economic output and sustaining 1 in 12 of all global jobs (around 255 million people).   Looking at the USA alone, travel and tourism amount to over 10% of the country’s GDP, supporting 14.4 million jobs and contributing over $120 billion in tax revenues.

This is a hugely segmented industry which (as Timothy O’Neil-Dunne states), “….inspires because it has a huge emotional component, everybody feels very attached to it.  At the same time, it’s incredibly complex- and full of mind-bogglingly stupid things that make it more complex than it needs to be….”   It is this factor of complexity which translates (to many investors) as being an indication of risk or even a lack of scale opportunities.  In the latter case, looking at just three members of one segment (the Online Travel Agency space) – Priceline (with a market cap of U$32 billion), Expedia (with a market cap of U$8.1 billion) and Tripadvisor (with a market cap of $5.4 billion) – show that this assumption, of a lack of scale, is clearly false.

The fact is, travel is one of the few industries that impacts practically everyone in the world economy.  It’s strange therefore that this is a sector lacking in investment momentum. To learn more about investing in the travel space, I spoke with Timothy O’Neil-Dunne, Managing Partner at T2Impact Ltd, co-Founder of VaultPAD Ventures and one of the original founders of Expedia.  He has published 3 books in Travel Distribution and Aviation. Mr. O’Neil-Dunne is a frequently quoted and a commentator in travel and technical journals and is a permanent advisor to the World Economic Forum.

Continue reading →

Guest article written for AllAboutAlpha.com – the official publication of the  Chartered Alternative Investment Analyst (CAIA) Association

Originally posted at: http://allaboutalpha.com/blog/2012/08/26/alpha-hunter-jeff-joseph-on-taking-funds-to-market/

The financial crisis has changed the landscape for any industry wishing to attract and retain investors.  By the end of 2009, most investment managers were- essentially- in survival mode, dealing with dramatic declines in asset prices (across the board) and a wave of redemptions from accounts.  Never ones to be defeated, and supported by positivity within the markets (and a lack of other investment options)- the first quarter of 2012 saw global assets under management by the hedge-fund industry reach US$2.13 trillion.

Even with this buoyancy of inflows, fund managers have been faced with challenges on a number of fronts.  Not only has the hedge-fund industry suffered a brand-crisis, but also investment managers are faced with rapid changes in regulations and routes to market.

To learn more about the changed face of fund distribution, we spoke to Jeff Joseph, Managing Partner of Prescient Capital Partners. Continue reading →

Guest article written for AllAboutAlpha.com – the official publication of the  Chartered Alternative Investment Analyst (CAIA) Association

Originally posted at: http://allaboutalpha.com/blog/2012/08/20/alpha-hunter-james-clayton-on-investing-in-media-and-entertainment/

“…Over the next five years, global spending on entertainment and media is projected to rise from $1.6 trillion in 2011 to $2.1 trillion in 2016, a 5.7 percent compound annual advance….” (PwC’s Global Entertainment and Media Outlook 2012-2016).

This is an astonishing figure, but when you consider the breadth and depth of media, it’s easy to see why.  Alongside food, clothing and energy- media is one of the few industries that pervades into the lives of practically every consumer on the planet- delivering content ranging from news to gaming, films, TV programmes and more.  As technology has advanced, the number of channels (and types of content) has grown meaning that investors can now access everything from global hits (such as the film Avatar which grossed over $2.7billion in cinemas alone from an investment of around $300million) to niche events and productions targeting specific communities.

Entertainment and media are growing and globalising.  Media assets which once would have only been shown or experienced in their country of origin are now global instruments, which can be exploited in markets worldwide.  Previously developing economies such as India, Latin America and Asia have also become incredible consumers (and producers) of media.   These fundamentals represent a powerful case for investors.

To learn more, I spoke to James Clayton, CEO of Ingenious Investments who- since their debut in 1998- have raised and invested over $10bn in the media and entertainment sectors.  Their portfolio includes films such as Avatar, Rise of the Planet of the Apes, X-Men: First Class and TV productions such as Law and Order UK, Monroe and Foyle’s War. Continue reading →