Proceedings of the 3rd International Conference of Business, Accounting, and Economics, ICBAE 2022, 10-11 August 2022, Purwokerto, Central Java, Indonesia

Research Article

How Do Venture Capital Make Investment Decision A Case Study of PT XYZ

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  • @INPROCEEDINGS{10.4108/eai.10-8-2022.2320823,
        author={Chairanisa Natasha Miraza and Elvia R Shauki},
        title={How Do Venture Capital Make Investment Decision A Case Study of PT XYZ},
        proceedings={Proceedings of the 3rd International Conference of Business, Accounting, and Economics, ICBAE 2022, 10-11 August 2022, Purwokerto, Central Java, Indonesia},
        publisher={EAI},
        proceedings_a={ICBAE},
        year={2022},
        month={8},
        keywords={venture capital startup investment analysis decision making theory},
        doi={10.4108/eai.10-8-2022.2320823}
    }
    
  • Chairanisa Natasha Miraza
    Elvia R Shauki
    Year: 2022
    How Do Venture Capital Make Investment Decision A Case Study of PT XYZ
    ICBAE
    EAI
    DOI: 10.4108/eai.10-8-2022.2320823
Chairanisa Natasha Miraza1,*, Elvia R Shauki1
  • 1: Universitas Indonesia
*Contact email: chairanisanatasha@gmail.com

Abstract

Due to the very low start-up success rate, venture capital is required to be more careful when it comes to investment decisions. An understanding of how venture capital evaluates startups is important, so startups can know the criteria that are considered important to make that startup a priority. This study wants to explore how PT XYZ makes funding decisions, how criteria they set before funding a start-up. Interview was the only instrument used in this research. The results of the interview show that PT XYZ uses an investment analysis they design themselves, namely the 5P to assess whether the start-up is feasible to fund. 5P are people, product, potential market, performance and potential upsides. This research is expected to be useful in the field of accounting, especially funding.