Halloween is here and the zombies are afoot! In fact, zombie companies are more common than you would ever imagine. Contrary to what you may believe, zombie companies aren’t just dead, non-producing leeches that suck the life out of their investors. They are very often simply challenged companies with a lot of potential. In fact, zombie companies usually have a compelling product and qualified team members.
So what makes them zombies? Zombie companies simply cannot grow without outside investment. They are probably missing some essential talent and are unable to hire without investment. It is very typical in this situation that the investor makes the decision not to supply additional funding, thus pulling the plug on the company. While technically still “living” while they are able to function, they are unable to grow – in the business world, this is the equivalent of the living dead
What are symptoms of a zombie company?
Most of the time, zombie companies have a compelling product. It is what is keeping them alive! If not, they would most likely be a dead company.
Effective management team members: If the product is compelling, the team has to be somewhat effective. However, chances are the team is lacking in some way. Otherwise, they would have never become a zombie company in the first place.
Lack of momentum: If a company is lacking in momentum, chances are they are a zombie. Any signs of stagnation and you should consult with a zombie whisperer to prevent a disaster.
So now you know what a zombie company looks like, but what can be done to save these zombie companies? (Hint: it takes a little more than an injection of capital.) In our next blog, we will talk about the approaches we have taken to bring the dead back to life.
-Steve Hogan, Managing Partner, Tech-Rx
Going online has never felt better! Our Investor Network Membership Services have migrated to an online platform for the convenience of our Investor Network members.
Through the new site, Tech-Rx Investor Network members can view companies under evaluation, companies open for investment, opportunities declined, and other opportunities
Companies Open for Investment
Especially interesting is the section of companies open for investment. These companies have been fully evaluated and are currently offering securities for sale. We include the company’s Private Offering Memorandum, our opinion of the company and other information that you may find valuable and make it available to you here on a confidential basis.
Investor Network Sign-Up
Interested in joining the Tech-Rx Investor Network? Well now you easily can because the sign-up and authentification process is online. New members can view investment opportunities shortly after they sign up.
Other Investment Opportunities
Oftentimes we come across interesting investment opportunities but are just not candidates for Tech-Rx. Here is where you will find these companies! Of course, if you are interested in investing in any of these companies, you must contact them directly. We would also like to note that Tech-Rx does not perform any type of due diligence on these companies and does not endorse them.
As the exclusive section of our website continues to grow, we look forward to enabling you to better make better investments.
-Steve Hogan, Managing Partner, Tech-Rx
We are looking for two new team members to join us at Tech-Rx! If you know anyone who you think would be a good fit as a Managing Partner or a Business Analyst, send them our way.
While Steve is the current Managing Partner, we are looking for an additional Managing Partner to help run the organization. Think of this position as the “number two” role at Tech-Rx. As a key executive in an early-stage startup, buying into our vision here at Tech-Rx is key. Know someone with a keen understanding of the startup world from a business, finance, and strategy perspective? We would love to chat with them about Tech-Rx.
The Business Analyst position offers a one-of-a-kind opportunity to explore the startup world from a business, finance, and strategy perspective. It is a great opportunity to build experience as Tech-Rx provides deep exposure to what actually has and has not worked for companies – not just their lofty hopes and aspirations.
We are always interested in hearing from those that share our vision that “All innovations, big and small, propel society forward” and our mission “To boost the rate of innovation by rescuing endangered technology.”
-Nikki Griggs, Business and Marketing Associate, Tech-Rx