DEFINITION OF VENTURE SCIENCE
A new, multi-disciplinary field that uses valid scientific methodologies to make objective and unbiased analysis of business practices and outcomes. This field uses advanced tools of venture capital analytics, pattern-recognition, predictive algorithms, information science, artificial intelligence and machine learning to uncover evidence and develop theories about business, venture, enterprise, capitalism and how they affect start-up and emerging growth companies. Venture Science examines business core strategies and how and why deals are selected, made, qualified and executed.
WHY VENTURE SCIENCE IS THE FUTURE FOR VENTURE CAPITALISTS
Advances in science yield new technologies and new methods for operating and supporting companies. Now these advancements are drastically changing how start-ups are selected, funded, commercialized and managed.
Within the next few years, Venture Science methodologies will transform the practice of selecting winning investments in ways that may not yet be understand because the entire field of Venture Science and Venture Predictive Analytics is advancing so rapidly.
Hedge Funds and Private Equity firms have been at the forefront of developing computer modeling and advanced predictive analytics to manage their large investment portfolios. The latest transformations are happening within the asset classes of Venture Capital and Angel Investing. Once reliant on personal and domain experience, subjectivity, gut instinct and intuition, VC’s will use new techniques that will be dominated by Venture Science, venture analytics and knowledge-based data, which will become the drivers of venture start-up decision-making.
On any given day, huge numbers of start-ups are looking for capital. In order to quickly evaluate and select companies for investment, Venture Science backed systems will soon dominate the industry. When seeking “needle in haystack” opportunities for rapid growth and profitable returns, knowing objectively and empirically whether a start-up is likely to fail or succeed can mean the difference between bringing limited returns and finding unicorns.
Warren Buffett famously said, “Risk comes from not knowing what you’re doing.” Venture Science is the bridge from believing to knowing.
THE IMPORTANCE OF A VENTURE SCIENCE COMMUNITY
Labx Ventures has put our “stake in the ground” within the growing venture science community and we are dedicated to the vision that Venture Science is the future of venture capital. We believe that a community of liked-minded individuals are needed to create group genius thinking to expand and elevate Venture Science “best practices” and Venture Science, as a Category.
Investors, entrepreneurs, professors, authors, analysts, and others should think of open-source-like sharing of knowledge so this new field of science can be used by the entire venture capital community to bring successful exits to their clients. A cooperative, interactive Venture Science community is good for capitalism and good for the economy.
LABx IN THE WORLD OF VENTURE SCIENCE
Labx Ventures has been one of the early adopters to embrace the new technologies of Venture Science. Years ago, we recognized that the future of successful venture investing would require far more advanced, objective, scientifically-based methods to find and evaluate the right deals for investors and capture higher financial returns.
Our most exciting advancement came from the successful development and testing of our complex, proprietary assessor tool that finds, evaluates and scores a start-up based upon its likelihood of successfully bringing returns to investors. We can also proudly claim to be among the very first to have been subjected to double-blind testing, including a published major university study that showed our assessor tool to be over 90% accurate in predicting successful exits.
Labx Ventures is a platform, or whole-product solution, that include descriptive, diagnostic, predictive and prescriptive elements. Not only can we assess a company in terms of its core strategy, competitive landscape, capabilities, risk and a host of other parameters, but we can improve and accelerate outcomes in our Venture Lab. Our platform supports start-ups we select with an array of tested, licensed, highly acclaimed collaborative tools including Group Genius and TRIZ. These tools have been shown to accelerate executive decision making so start-up and emerging growth teams can stay on or beat their timelines.
To learn more about LabX Ventures, Venture Science, or our New Venture Assessor (NVA) Tool