Early-stage companies, which often lack an established track record, can benefit from venture capital by accessing the financing and support needed to turn ideas into profitable ventures. For more details financial-equity.com Given the overall growth of investments over the past ten years, we were interested in understanding how the recent VC slowdown could affect companies moving forward. With this in mind, we tracked the journeys of approximately 150 agtech start-ups over the past decade, observing the typical time between funding rounds and the increase in round size, which is a rough proxy for valuation growth (Exhibit 2). These start-ups were carefully chosen to represent five prominent investment themes: alternative proteins, sustainable materials, controlled-environment agriculture, digital and precision agriculture, and sustainable inputs (see sidebar, “Five major themes at the heart of agtechâ€). Steven N. Kaplan Kaplan has consulted to venture fund general partners and limited partners. Overview of the company or asset: Provide a brief background of the company or asset, including its market, size, and competitive positioning. Investment rationale: Detail the reasons for investing, such as attractive valuation, strong revenue growth, or a unique business model. Risk assessment: Identify potential risks and how they could impact the investment returns. Expected return: Estimate the potential financial return based on the identified growth drivers or catalysts. Time horizon: Indicate the investment period, typically long-term, during which the thesis is expected to play out. Fund size: Specify the amount of invested capital that will be allocated to this particular investment, considering its impact on portfolio construction, liquidity, and potential returns within the overall portfolio strategy. Crafting a compelling investment thesis is crucial for informed investing decisions, as it helps investors thoroughly analyze a potential opportunity. A well-researched investment thesis demonstrates the investor's conviction level and reinforces their confidence in the investment choice. This process involves a deep understanding of the business, its value drivers, and its potential growth trajectories. In the early stages of a startup, it is essential to hire T-shaped team members, which refers to individuals who possess a wide range of skills and knowledge, while also having depth in one specific area. Hiring T-shaped people versus specialists can provide more flexibility and problem-solving capabilities in a dynamic startup environment. To build the initial team, founders should prioritize hiring doers, those who can get things done efficiently and effectively.