Peachscore the Universal Profile for the Startup Ecosystem – It’s no secret that it’s hard to find funding for any early-stage startup, and founders are hard-pressed to build, scale, and scour the marketplace for potential investors. Investors know all too well the pains of searching for the next founder or startup that shows the promise that justifies making that big-ticket investment.
Innovators submit tens of thousands of daily requests for investment, financial aid, and partnerships. And that is an arduous task in itself (on top of trying to scale and handle other affairs). Often the trudge for funding is a failure. Currently, only one company out of 1000 receives funds, leaving the industry with 999 unserved startups. Also, many startups fail for various reasons, but finding venture-backed funding is one of the big ones (and the lack of product-market too).
VC is a risky business too, and many investors lose money, and a great deal of time is spent on things that don’t pan out. There is evidence that venture-backed startups fail at far higher numbers more often than not in the industry. Research by Shikhar Ghosh, a senior lecturer at Harvard Business School, commented that venture capitalists “bury their dead very quietly…[and] they emphasize the successes, but they don’t talk about the failures at all.”
Peachscore’s AI-driven platform democratizes access to startups from everywhere, of any size, giving VC investors a place to discover opportunities that may have never crossed their radar through traditional due diligence and discovery methods. Peachscore intends to level the playing field and create a more inviting environment so that both startups and VC firms can find their match and reach their full potential and increase the chances of an investor finding a deal they believe to be an ideal match from an investment thesis perspective.
Other considerable obstacles in the ecosystem are the evaluation process, engaging with innovators at scale, which is failing due to a lack of proper data infrastructure for seamless communication. The manual processes increase the chances for opportunities to be overlooked; they’re fragmented, time-consuming, and costly resulting in drastically limited visibility and bandwidth. Peachscore’s platform eliminates those time-consuming elements of the evaluation process like back-and-forth emailing, requesting documents, cross-referencing information on other platforms, a myriad of phone/Zoom meetings, data requesting, and having founders complete various paperwork too. Peachscore simplifies it all and is a one-stop-shopping for all those evaluation elements in a friendly user interface that is industry compliant, and provides all the information investors need.
Peachscore’s thesis is that these aforementioned problems can be solved by creating a new universal protocol and platform for startup evaluation, like the invention of credit scores and the college common app.
Like the common app for students, the Peachscore platform helps startups shift attention away from scouring the market for investors and focus on the potential application to a much broader range of opportunities without the traditionally associated cost and time allocation.
The only difference is that taking a more data-driven approach and using a scoring system for evaluation helps both sides of the process navigate the entire funding journey and get valuable insights. The platform’s profile system helps startups avoid common pain points of positioning themselves to investors and can learn from other founders’ data who have been in their shoes too. The engine can identify hyper-specific areas of risk in a startup and provide recommendations on how to build a business in a more attractive way to investors. Peachscore is a great way to understand the potential areas of a business that investors might want to dig deeper into (and why). The score is a composite metric that helps indicate the structural soundness of a startup based on decades of venture capital data analysis.
At a more granular level, how does the platform do this for founders? Peachscore collects and analyzes early-stage companies’ information in real-time using 14 different dimensions with over 341 critical evaluation factors. Peachscore’s engine can generate a risk rating, or Peachscore, for each company. This gives VCs a detailed look into a company and its product’s potential, leading to more informed decisions. It’s a win-win for both parties and helps the ecosystem more effectively grow and transact.
In essence, Peachscore’s universal profile or “common app” is an AI-driven platform that provides a FICO score for startups, and brings together investors and startups from around the world, and is democratizing access to insights that were previously restricted to the proprietary, allowing VC investors to make more informed decisions, and never miss out on a high potential startup again.
Peachscore believes all entrepreneurs deserve a chance to access ecosystem resources by eliminating communication and evaluation barriers. We call it “Mass Startup Acceleration.” To learn more about Peachscore and sign up check out the website.