OMERS Ventures
Published in

OMERS Ventures

We asked over 150 VCs if they are doing remote deals. Here’s what they said.

Photo by Allie on Unsplash
  • Will VCs do fully remote deals, and under what circumstances?
  • What kinds of VCs are leading the way on remote deals?
  • Has the investment process changed, and if so, how?
  • How has dealflow been impacted by COVID-19?
  • Have VCs changed the way they are spending their time?

Key reflections

Research highlights:

  • More than two-thirds (69%) of respondents say their firm is giving fully remote deals the green light
  • 40% of firms confirmed they have already done a fully remote deal as a result of restrictions put in place due to COVID-19.
  • Early-stage firms are 11% more likely to have already closed a remote deal than later stage firms, with 47% already having done a fully remote deal
  • US firms were 18% more likely than Canada, and 7% more likely than Europe, to have closed a remote deal
  • 49% of firms say their pipeline has held steady or increased since the start of the pandemic
  • However, deal flow starts to vary when it comes to lead versus follow-on investors. In fact, more than half (56%) of lead investors reported some level of decline in deal flow
  • US firms were 11% more likely than European or Canadian firms to have seen an increase in deals since the start of the pandemic
  • 42% of those who plan to do remote deals agree that it will require changes to their existing process.
  • New processes implemented for remote deals include incorporating more reference calls, giving preference to founders and teams they’ve already met in-person prior to the pandemic, spending more time on diligence, prioritizing deals that have known firms already on the cap table, and setting a higher bar on traction/metrics
  • “Portfolio Triage” is not over with over 64% of VC’s reporting spending more time on Portfolio. As well, given the additional processes, many VCs admit to be spending more time on Diligence

--

--

OMERS Ventures is a global early stage venture capital firm.

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store
OMERS Ventures

OMERS Ventures is a multi-stage VC investor in growth-oriented, disruptive tech companies across North America and Europe.