Pre-Investment Factors and Their Roles in Backing the Startups Growth in Malaysia
Abdullah Abdulrahman Algahtani,Dr. Md. Razib bin Arshad

Abstract
The objective of this paper is to provide venture capital investors with pre-investment criteria to eliminate possible uncertainties and to assist the venture to grow and exit successfully. In this study, we conducted personal interviews with some venture capital executives and two entrepreneurs in Malaysia. Out of 52 active registered venture capital firms in Malaysia, only eight firm representatives agreed to participate in in-depth interviews with the CEOs. Moreover, some VC participants recommended two entrepreneurs to participate in the study, too. The interviews covered all pre-investment aspects that could assist in a successful investment. Our findings displayed that innovation and investment environment are key pre-investment criteria. Consequently, our results support what previous relevant studies concluded. The significance of these results is providing further support for the decision making process.

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