VC Due Diligence (Online)

Develop industry-ready skills for

evaluating startups
Overview

Recent years have seen record-breaking global venture capital investments. Increased investment values
and volumes set high expectations for the future of startup investing. Fast-forward to the present. Due to
economic and geopolitical uncertainty, deals are down, and the outlook for the market is unclear.

So, what is the lesson for those on either side of the table?

Dealmaking in today’s volatile market requires a higher level of care. The high cost of failure — in terms of
both time and money — means venture capitalists must conduct a thorough examination of potential
investments. And startups must be prepared for the process, equipping themselves with strategies to
increase their chances of securing funding.

Due diligence provides a framework to guide investors through the dealmaking process. Done well, it can
help determine the health of an investment, uncovering implicit challenges and liabilities and shielding
existing assets. Navigating the process and realizing the full power of due diligence requires a detailed
knowledge of the 4 Ps: people, problem, progress, and price.

Designed to provide a comprehensive exploration of the practice, this program will help you achieve an
extensive understanding of due diligence and how to integrate it into your strategy. Angela Lee, professor
of practice at Columbia Business School, combines her expertise in venture capital, leadership, and
strategy to firmly ground you in the core elements of the practice. Lee is the founder of 37 Angels, a startup
investment network that has evaluated over 25,000 deals.

Key Takeaways
At the end of this program, you will be able to:
• Identify the success and risk factors investors look for during diligence
• Gauge the current and future business environment to uncover potential challenges and liabilities of
investing in a startup
• Utilize valuation methodologies to pressure test a startup's stated valuation
• Interpret the fundamental characteristics of term sheets to outline the terms and conditions of a deal,
thereby facilitating the diligence process
• Conduct due diligence for a potential venture capital fund from two perspectives, as a limited partner and
potential employee, to expand your influence in the field
• Apply learnings to a number of real startup case studies

Duration Format Fee*

6 Weeks Online USD 2,600
4 – 6 hours per week *GST applicable to Singapore residents.

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Program Modules

Over the course of six weeks, you will learn a real-world framework for determining whether an investment is
venture backable or in need of further diligence. An invaluable tool for investors and startups alike, the 4 Ps
framework (people, problem, progress, and price) helps guide investors in their decision to move forward or
walk away from a deal and prepares startups for every stage of the diligence process. By applying the
learnings from this program, you will be able to help your organization minimize risk and maximize fund
performance in today’s volatile market.

Module 1: People — How to Assess

Understand the makeup of a due diligence team — the people, their roles, how they work together, and if
they possess that “it factor” you are seeking.

• Discover what investors look for when conducting diligence of people

• Develop your own definition of the “it factor”, and evaluate pitches based on the criteria you select
• Learn how bias influences investors, and find out how to address it
• Practice your learning by assessing startup teams

Module 2: Problems — What to Look For

Learn to assess the market based on factors investors use when performing diligence of a problem.

• Determine whether a problem has been correctly identified and defined

• Understand how to size a market top down and bottom up
• Explore whether the idea has future potential
• Quantify geographic expansion potential
• Implement your learning by identifying a problem, defining and sizing the market, and identifying the
competition

Module 3: Progress — Metrics That Matter

Discover how startups measure their progress and the success of their customer acquisition plans.

• Explore the metrics used to review the progress of a startup, such as the ratio of customer lifetime
value to customer acquisition cost
• Assess a business model and product development road map for a startup
• Practice your learning by identifying the metrics that matter for a variety of business models and
reviewing your analysis for gaps

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Module 4: Price Terms That Matter
Dive deeper into term sheets. Which instrument should you raise on? How much has the founder raised
and at what evaluation?

• Learn how to prioritize the terms that matter when negotiating a term sheet
• Assess the terms to understand, and identify your non-negotiables
• Discover how to leverage term sheets to make investment decisions
• Practice calculating post-money valuations for a Shark Tank video

Module 5: Conducting Diligence for a Fund

Learn the qualitative and quantitative measurements for evaluating a venture fund or general partner,
whether you are an employee, limited partner, or a startup.

• Compare different investing models

• Assess what matters when evaluating a venture fund or general partner from the perspective of a
founder or employee
• Learn how to calculate gross IRR and gross multiple for funds, and decide whether you would invest

Module 6: Lessons in Diligence

Explore the last decade of innovations in sourcing, selecting, and supporting startups, and learn how to
review your anti-portfolio.

• Understand innovations in sourcing, selecting, and supporting startups

• Apply learnings about diligence best practices to a specific industry
• Develop a personalized diligence rubric, and share it with your peers

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Program Experience

At Columbia Business School Executive Education, peer-to-peer learning and market-relevant program work
are essential to the in-class experience. We have replicated this approach in our globally connected online
classroom so that you will learn from the professor, program leaders, case studies, and each other — no matter
where you are in the world.

Live teaching Weekly Discussions and

sessions assignments networking opportunities

Year-long access to Try-it activities Learning journal

faculty webinars

Peer learning

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Adding Value to Your Experience

Hands-On Activities:
• Analyze term sheets to identify an optimal investing scenario
• Apply due diligence best practices using a real-world investment scenario
• Calculate post-money valuations to predict investment performance
• Calculate gross IRR and gross multiple to evaluate a venture fund
• Keep a learning journal to document your learning experience
• Size a potential market, and identify indicators of an attractive competitive landscape
• Develop a diligence plan based on what matters to you as an investor

Network Development:
Being a part of the VC Due Diligence (Online) program from Columbia Business School Executive
Education means engaging with other motivated professionals from a wide range of backgrounds and
industries. Discussions and collaborative activities, such as a final peer review of your due diligence plan, will
give you the opportunity to solidify your learnings, exchange rich ideas, and broaden your perspective,
serving you well as you navigate the complexities of dealmaking and advance your career. You will leave the
program with an enduring professional network you can source for ideas and opportunities.

Case Studies and Industry Examples:

Gain insights into current industry trends by reviewing real world case studies and industry examples,
including several Shark Tank videos.

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Who Is This Program For?

This program is designed for investment professionals who wish to learn due diligence techniques and
industry best practices to help them thoroughly analyze startups, mitigate risk, and drive fund returns in an
unpredictable market. Entrepreneurs or senior managers who are interested in strategies that can help
increase their potential to secure funding for a startup will also benefit.

Venture capital and private equity investors, including angel investors and HNIs, who are interested in
investing in startups and wish to build the skills and confidence to conduct thorough evaluations, minimize
risk, and drive fund returns in a volatile market:

• Investors • Principals
• Private equity partners • Venture capitalists

Entrepreneurs who want to develop an understanding of the investor’s perspective and learn strategies to
increase their potential to secure funding for early-stage startups during uncertain times:

• CXOs • Co-founders
• Founders • Entrepreneurs

Mid- to senior finance professionals who wish to learn an exact due diligence framework that will help them
succeed in an M&A role, particularly one that evaluates startup acquisitions:

• Acquisition and equity analysts • Acquisition and equity manager

• Corporate vice presidents • Investment managers

Consultants and financial advisors who want to excel at comprehensive due diligence in order to build
investment solutions for their clients:

• Consultants • Financial consultants

• Investment consultants • Financial advisors
• Wealth management advisors

Value Investing In Technology

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Program Faculty

Angela Lee
Professor of Professional Practice in Finance Faculty Director,
The Eugene Lang Entrepreneurship Center, Columbia Business School

Angela Lee is an award-winning professor and former Chief Innovation Officer at Columbia Business
School, where she teaches venture capital and leadership programs. Angela started her career in Product
Management and then moved to consulting at McKinsey & Company. She launched four startups and is
also the founder of 37 Angels, an investing network that has evaluated over 20,000 startups and invested
in 90 startups.

She serves as a venture partner at Fresco Capital, an early-stage venture fund that focuses
on the future of work, digital health, and sustainability. She was awarded
the Dean’s Award for Teaching Excellence at Columbia Business
School in 2020 and won the Singhvi Prize for Scholarship in the
Classroom in 2022.

Angela has spoken at the White House and NASA. She is an

expert in teaching online and making learning scalable.
She is a sought-after expert on CNBC, Bloomberg TV,
MSNBC, and Fox Business. She was also recognized by Inc.
as one of the 17 Inspiring women to watch, by Entrepreneur
Magazine as one of the six Innovative women to watch,
and by Crain’s as a notable women in tech.

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Certificate

Upon completion of this program, you will receive a certificate of participation from Columbia Business
School Executive Education — a powerful testament to your management capabilities.

C olumbia Business School Executive Educ ation

hereby recognizes that

Participant Name
has participated in:

VC Due Diligence (Online)

Date

Costis Maglaras
Dean and David and Lyn Silfen Professor of Business

This certificate also counts toward two days for the Certificate in Business Excellence, which grants select alumni and tuition
benefits. Your verified digital certificate of completion will be issued in your legal name and emailed to you at no additional cost upon
completion of the program, as per the stipulated requirements. All certificate images are for illustrative purposes only and may be
subject to change at the discretion of Columbia Business School Executive Education.

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About Columbia Business School

Columbia Business School was established in 1916 to provide business training and professional preparation
for undergraduate and graduate Columbia University students. It has since become one of the world’s leading
business schools, with excellent faculty who provide students with superior knowledge and thought leadership
across divisions and disciplines. Columbia Business School is the only Ivy League business school located in
the global business hub of New York City. The school has more than 47,000 alumni in 133 countries and about
70 alumni clubs globally. Columbia Business School is a part of Columbia University, which has produced 101
Nobel Prize winners, five Founding Fathers of the United States, nine justices of the United States Supreme
Court, 29 Academy Award winners, and 29 heads of state (including three United States presidents).

About Emeritus

Columbia Business School Executive Education is collaborating with online education provider Emeritus to
offer a portfolio of high-impact online programs. These programs leverage Columbia’s thought leadership in
management practice developed over years of research, teaching, and practice. By collaborating with Emeritus,
we can broaden access beyond our on-campus offerings in a collaborative and engaging format that stays true
to the quality of Columbia Business School Executive Education and Columbia University as a whole. Emeritus’
approach to learning is formulated on a cohort-based design to maximize peer-to-peer sharing and includes
live teaching with world-class faculty and hands-on project-based learning. In the last year, more than 100,000
students from over 80 countries have benefited professionally from Emeritus’ programs.

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Would you like to learn more about this program? Connect with a
One of our program advisors will be happy to speak with you.
Program Advisor
Schedule a Call Email: [email protected]
Phone: +1 718-550-0890
If you are ready to enroll in this program,
start here:

Enroll