RWI Group: Entrepreneurs FAQs #9

On the surface, most venture capital firms perform similar functions. They provide capital and work with entrepreneurs to build successful businesses. In this respect, RWI Group is similar to many other successful venture capital firms. However, there are several areas which distinguish RWI Group from other venture capital firms.

One distinguishing characteristic is RWI Group’s extensive network of Limited Partners, one of our most valuable resources. While Limited Partners in most venture capital firms consist primarily of large institutional investors, the vast majority of RWI Group’s capital comes from over 100 talented, accomplished individuals. Included among our Limited Partners are successful technology industry entrepreneurs, current or former top executives of leading technology companies, managing partners of other venture capital firms as well as leading venture lawyers and investment bankers. Our Limited Partners help us with entrepreneurial and management expertise, industry contacts, due diligence support, and deal flow. We believe that the business connections of our Limited Partners represent a valuable asset to RWI Group. We maintain close contact with our Limited Partners to bring our collective skills to bear on the success of our funds.

A second benefit unique to RWI Group is the active involvement of Donald L. Lucas, a 40-year veteran of venture capital and the founding investor in companies such as Oracle, National Semiconductor, Cadence Design and Macromedia, a valuable asset for RWI Group in helping to grow young companies. His experience on the board of directors of some of the world’s leading technology companies provides insight in the competitive marketplace for many companies’ products and services. Additionally, his contacts and reputation with many technology industry leaders facilitates high-level introductions.

Another area which distinguishes RWI Group from many other firms is our smaller size. Many larger firms have so much money which they need to "put to work" that they find it difficult to write checks for less than $10 million in order to justify devoting resources to a company. Often, this is more money than a company needs at a very early stage and may result in significant dilution for founders. Our willingness to fund smaller amounts helps us to work with many emerging companies, while our close relationships with many larger venture capital firms ensures access to capital for future financings.