CIOs have to balance the competing imperatives of growth and cost, including IT spending in core areas such as AI and security, says BCG’s Clark O’Niell.
Successful tech investment doesn’t just happen. To make smart bets in the technology investment space, investors have to understand where to focus their tech capital within specific geographies, sectors, and funding stages.
Our tech investing consulting team advises top investors across the investment cycle, including deals of all sizes; late-stage venture capital, growth equity, and leveraged buyouts; and into IPOs or special-purpose acquisition companies.
Our Approach to Supporting Tech Capital Clients
We offer unparalleled guidance and insights to our clients in the tech capital space, working with venture capital and smaller tech deals in parallel. On the buy side, we rapidly assess each target company and offer insight on its future outlook and its ability to capture market opportunities and mitigate risks. On the sell side, we help clients communicate a compelling equity story so they control the narrative in the market, and advise them on how to maximize their exit value.
- Extensive experience paired with deep expertise. We’ve completed more than 500 global tech capital engagements in recent years, drawing on our thorough understanding of each tech sector (including growth tech and deep tech) as well as our knowledge of relevant end markets and our expertise in commercial due diligence, portfolio acceleration, product due diligence, sell-side support, and fund strategy.
- Detailed understanding of success drivers. We understand the fundamentals of technology investment success, and we help clients generate answers to crucial questions such as, “What is the growth potential for the next holding period?” and “What will the growth outlook be upon exit?”
- Software Exit Radar: Spotting the most attractive investments. Software Exit Radar is an interactive database that enables investors to identify software investments coming to market in Europe—and search for prospective targets that best meet their investment strategies.
- Global software database to spot the best investments. Our Global Software Database enables us to track 13,000-plus software companies in late-stage venture capital and private equity ownership across a broad range of sectors, positioning us to help clients identify the most attractive investments.
- Code scan. BCG regularly uses code scanning in due diligence engagements to determine the quality of a target’s software code. Findings enable clients to mitigate risks and make informed investment decisions by analyzing software applications and their architecture.
Our Insights on Tech Capital
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Cost Is a Core Priority for CIOs
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A survey of chief information security officers reveals how advanced companies gain cyber maturity and what best practices they use to prepare for emerging threats in economically uncertain times.
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Choosing suitable investment targets in the software industry can be difficult. We outline a combination of public business data and growth archetypes that can guide private equity firms in making these decisions.
Our Tech Investing Consultant Team
We’re a trusted partner to the top ten private equity firms and tech investors, and have assisted nearly 70% of the top 60 tech capital investors globally. Our tech capital proficiency includes specialists in data science, analytics, and digital businesses, as well as industry experts in software pricing, technology go-to-market, transformation from on-premise to SaaS, growth-oriented cost takeout, and R&D.
