How do I make investment decisions?

The three elements behind my investment decisions.

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Over the years, I've developed a checklist that guides how I decide to make an investment.

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Here are the 3 parts. 👇

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1️. My business checklist.

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📌 Product

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Does this product make sense for what it aims to achieve? 

Does it address a real need or solves a significant problem? 

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If the answer is yes, then I see potential.

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📌 Team

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​​Are these the right people to build it? 

I look at the team behind the product. 

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Do they have the experience, skills, and capacity to bring their vision to life? 

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I need to trust the founders' ability to execute. 

This is often what makes or breaks the company.

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📌 Market

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Lastly, I assess the market potential. 

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Is there a market for this product? 

Is there demand for this product? 

How big is the market, and can it grow? 

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Even if the product & team are exceptional, the absence of a viable market can affect their growth.

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2. My YOLO checklist.

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📌 Am I excited about this?

📌 Do I like the founder enough to be in this journey with him/her?

📌 Does this sound fun and/or exotic? 

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3. “Finding the right deal” checklist.

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📌 ⁠Size check and diversify

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How does this investment combine with the rest?

In terms of check size.

In terms of industry and market diversity.

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📌 Is there a green light from other investors? 

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Have other more qualified investors than me given the green light?

I don't have time, energy, or capacity to look at most deals in depth nor am I an expert in most industries. So it helps a lot when professionals have performed a thorough due diligence.

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📌 ⁠Understand that I don’t need to be in every deal.

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This is more of a reminder.

It is OK, if I miss out on a deal.

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It is even OK to miss out on a great deal.

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It’s not the end of the world.

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These elements are the foundation of my investment decisions, and what brings me clarity.