MENA-OECD ENTERPRISE FINANCING NETWORK 

“Linking Innovative Entrepreneurs with Investors” 

by 

Charles KovacsVice Chairman, Committee on Non-Member Economies, BIAC

charles.kovacs@hidradiort.hu

  

Dubai, UAE21 March 2007

THE INVESTORS

• Rapid growth of private equity, hedge funds venture capital, private investors

• Less risk averse than traditional investment funds, mutual funds

• Appearance of funds and institutions specialising in developing countries; some even in high risk countries, BUT

• Number of investment proposals always exceeds available fundsand expert personnel of investors

WHAT DO INVESTORS LIKE TO AIDTHE INVESTMENT DECISION PROCESS? • Good presentations = comparative advantage• Presentations should be short, clear, neat, and focused

- Demonstrate commitment - Business plans should be austere, and include clearly visible assumptions - Use language of investor

- Provide detailed background and back-up data for presentation

THE FUTURE Entrepreneurs are the most effective agents of growth,development, and modernisation Entrepreneurs need a business-friendly environment, and capital; the former is essential for the latter High risk countries will continue to attract only a very small share of available investment, foreign ordomestic Refocusing of foreign aid to leverage private investment, especially in SME and entrepreneurial firms to speed economic growth and progress