INVESTMENT BUSINESS CONSULTING: CONTENT, TECHNOLOGIES, POTENTIAL

Author

, associate professor, Kharkiv, Pushinska, 77

In heading

Economic theory;

Signed print

22.11.2019

Issues number

2019 - № 4 (39)

Page

65-82

Type of articles

Scientific article

Code UDK

005.942:330.341.1

ISSN print

2411-5584

Abstract

Problem setting. Global transformations of the business landscape cause ongoing update tools of investment management that formulate a request for professional help.
Recent research and publication analysis. The content, and technology of investment consulting (IC) almost don’t cover in the scientific literature. The main source of information is the websites of specialized consulting companies.
Paper objective. The purpose of the article is to reveal the content of IC as a technology for improving the efficiency of investment and innovation activity of modern business structures.
Paper main body. IC is aimed at ensuring the increase of competitiveness and efficiency of economic activity of client organizations by transferring best practices, investment design technologies, and investment management into business practice. IC services are 1) development and maintenance of an investment project; 2) performance evaluation, project expertise; 3) fundraising; 4) consulting on the best ways to invest. The areas of work of investment consultants are risk minimization for project participants communication, project engineering. Due Diligesce is a complex procedure for comprehensive and multi-factorial verification of a company or project to justify investment decisions and minimize investment risks.
Fundraising in business consulting means a comprehensive service that includes a search for investors/creditors; developing a proposal that meets their selection criteria; organization of communications; engineering the financial model to the participants’ requirements. The main task of the consultant is to create mechanisms that balanced the interests of the parties for the long term. Project participants try to protect themselves from
failure as much as possible. They do it by using hybrid financing tools, which make it possible to simultaneously profit and protect the interests in case of bankruptcy of the project. Call structuring, put option, liquidation privilege, conversion loan are used in structuring the investment agreement. Professional assistance can prevent these financial instruments from being transformed into «legal mines» and to ensure optimal structuring
of the investment agreement.
Conclusions. IC as a specialized type of consulting in traditional and innovative areas of investment activities has the potential to increase the efficiency and competitiveness of business.
Short Abstract for an article
Abstract. The content of investment consulting (IC) as a technology of increasing the efficiency of the investment-innovative activity of modern business structures is revealed. Theoretical aspects of IC are specified. IC services are classified. The content of fundraising as a comprehensive IC service is considered. The potential of modern consulting technologies for protecting the interests of business project participants and the optimal structuring of investment transactions based on hybrid inancing tools has been demonstrated.

Keywords

investment consulting, development, fundraising, investment teaser, dueiligence, hybrid financing, options, structuring an investment agreement.

Reviewer

External reviewer

Article in PDF

65-82

Bibliography

1. Launis, R. (2010, July 8). Top – 7 methodov upravleniya proektami: Agile, Scrum, Kanban, PRINCE i dr. [Top – 7 methods of the projekt management]. Retrieved from https://www.pmservices.ru/project-management-news/top-7‑metodov-upravleniyaproektami-agile-scrum-kanban-prince2‑i-drugie/ [in Russian].
2. Voronkova, A. E., Otenko, V. I., & Voronkov, D. K. (2010). Osnovy upravlinskoho konsultuvannia [Basics of managerial consulting]. Kharkiv: VD «INZhEK» [in Ukrainian].
3. Steshkovich, Ya. V., & Syiso, T. N. (2016). Investitsionnyi konsalting [Investment consulting]. Vestnik Omskogo universiteta. Seriya «Ekonomika» – Bulletin of the Omsk University. Series «Economics», 1, 157–165. Retrieved from https://cyberleninka.ru/article/n/investitsionnyy-konsalting/viewer [in Russian].
4. Metodicheskoe posobie i prakticheskie rekomendatsii po strukturirovaniyu sdelok, primeneniyu mehanizmov motivatsii kliyuchevyih sotrudnikov, v tom chisle v zarubezhnyih yurisdictsiyah, strategii i taktike vyihoda na mezhdunarodnyi ryinok. AO «RVK». Po zakazy AO «RVK» «Deloyit Ii Tysh Ridzhinal Konsalting Servisis Limited». (2017). [The methodical relief and the practical recommendations for structuring of deals, for using of motivation mechanisms to main employees, including the foreign jurisdictions, for strategy and tactic to world market exit. According to the order from SK «PVK» «Deloitte Touch Ridginal Consulting Servises Limited»]. Retrieved from https://www.rvc.ru/upload/iblock/849/mp_rvc_deloitte_2017.pdf [in Russian].
5. Ofitsialnyi sait GFD-Group. Analiticheskiye materialy po kongsaltingovym uslugam [Official site CFD-Group. Analytical materials on consulting services]. Retriеved October 12, 2019, from http://www.gfd-group.ru/baza_znanij/razvitie_proektov [in Russian].
6. Ofitsiinyi sait konsaltynhovoi kompanii Pro-consulting [Official site of Pro-consulting, a consulting company]. Retrieved October 12, 2019, from https://pro-consulting.ua/services [in Ukrainian].
7. Ofitsiinyi sait konsaltynhovoi kompanii NTD-group [Official site of NTD-group, a consulting company]. Retrieved October 12, 2019, from https://ntd-group.org/konsaltynh/investytsijnyj/ [in Ukrainian].
8. Ofitsiinyi sait konsaltynhovoi kompanii Intelligent Solution Group [Official site of Intelligent Solution Group, a consulting company]. Retrieved October 12, 2019, from https://isg-consult.com/investment-consulting [in Ukrainian].
9. Ofitsiinyi sait konsaltynhovoi kompanii App-invest [Official site of App-invest, a consulting company]. Retriеved October 12, 2019, from https://app-invest.com.ua
10. Babienko, M. (2017, October 25). Sezon startap-ohotyi. Zatchem krupnyie kompanii sponsiryut biznes-inkubatoryi? [The start-up hunting season. What for big companies are sponsoring a business-incubators?]. Retrieved from https://focus.ua/economics/383458 [in Russian].
11. Tsaplin, N. (2018, December 19). Prirozhdennye ubiytsyi: kak Amazon, Google I Facebook izbavlyayutsya ot startapov [As Amazon, Google and Facebook are getting rid of startups]. Retrieved from http://www.forbes.ru/tehnologii/370561‑prirozhdennyeubiycy-kak-amazon-google-i-facebook-izbavlyayutsya-ot-startapov [in Russian].
12. Panchenko, A. V. (2014). Osobennosti provedeniya Due Diligence innovatsionnyih proektov [The innovation projects Due Diligence realization peculiarities]. Vestnik KrasGaU – Bulletin of the KrasGAU, 10, 9–14. Retrieved from https://cyberleninka.ru/article/n/osobennosti-provedeniya-due-diligence-innovatsionnyh-investitsionnyhproektov/viewer [in Russian].
13. Kaliev, K. (2017, July 05). ICO kak instrument dlya razvitiya startap-infrastrukturyi [ICO as instrument for start-up infrastructure development]. Retrieved from https://www.forbes.ru/tehnologii/347385‑ico-kak-instrument-dlya-razvitiya-startapinfrastruktury [in Russian].

Code DOI

10.31359/2411-5584-2019-39-4-65

22.11.2019