Investing
In this short section we will explain the full investment cycle that we at CSS Partners LLP and our associates at Charles Street Securities Europe LLP (CSS) undertake on each recommendation.
There are four steps in the investment process behind an individual recommendation: SOURCING, RESEARCHING, PLACING and REPORTING.
We will explain how the companies are identified, the research and due diligence that is then undertaken by the investing and corporate finance team and the level of documentation that will then be available to all investors.
The next step will explain how each individual adviser will monitor, assess and maintain your individual investments through CSS Partners.
Finally it will explain how the CSS Partners private client service enables you to keep up to date with your investments and offer advice at the point of exit.SOURCING
The selection process to identify companies, both for investment clients and ourselves, begins approximately 9-12 months before a transaction is ready to be presented to our clients. CSS uses its in-house corporate finance team as well as an international network of advisors and intermediaries in various fields who introduce young, growing companies that require financing for expansion.RESEARCHING
For the companies that pass the CSS due diligence process, a funding assignment is agreed and a placing document is prepared. This document contains all available information on the company, its directors, its finances etc. enabling a potential investor to have access to a large amount of information before deciding on whether or not to invest.
The corporate finance team and industry specialists at CSS will then decide if the company has realistic and suitable capital appreciation potential. This is done through due diligence meetings with the company’s management and directors. If, after this stage, the potential investment looks viable, the due diligence process continues with consultations with industry experts, accountants and lawyers. During this process, the business case and the financial and investment proposition are examined as well as the minutiae of the company’s finances, its directors, its prior history, its competitive position, its, intellectual property and above all its future potential prospects. This process typically takes six to nine months.PLACING
At the point when a funding 'goes live' with the publication of the placing document, your own personal broker will call you to inform you of the details, the risks and the potential of the investment being presented, as well as any tax breaks (EIS etc) which might be available and a projected timeframe for the exit is generally also provided if possible. This telephone summary is then followed by the placing document which is sent to all clients. At this stage the decision is left to you as to whether to invest or not.REPORTING
Every company we recommend will have entered into an agreement to communicate with all shareholders every quarter. This communication from a company consists of a management report on operations and unaudited management accounts for the period. With this information your broker can keep you informed on a regular basis with regard to the progress of your investment as well as any news or events that may affect the company’s prospects. If the company is listed then the information will also be available from the market on which it is listed. We find that our procedures provide a high level of information to investors and force managements to respect the need to communicate with their shareholders.
Your broker is always available to you during business hours should you have any queries. We believe our service sets us apart offering a level of service rarely seen by private investors.
We hope this has helped you to understand our service and look forward to welcoming you to CSS Partners.