London (England) & Frankfurt (Germany), Sept. 2021. GreenTec Capital is pleased to share that Tomi Davies (TD), it’s Chief Investment Officer, participated in an interesting and informative webinar hosted by the Tanzania Venture Capital Network (TVCN). Founder of TVCN and CEO of SSC Capital, Salum Awadh, led the discussion and asked TD questions focused on “How can startups build scalable innovation businesses.”
TD offered his solution to better understanding the particular stage and viability of startups, his POEM framework. “My POEM framework identifies core strategies for startups. It is a simple tool for understanding the different components of a startup from MVP (minimal viable product) to series A or B.” POEM is an acronym with the letters representing four basic pillars that formulate the simple model. It is broken down into; proposition, organization, economics, and milestones. Together these subject-areas describe startups in their totality; and separately they provide the necessary detail to ensure that critical information is identified, gathered and shared to guarantee startups are on the right paths, and potential and current investors have access to the necessary due diligence to be encouraged to invest or not.
TD took a step back and said before exploring the four main pillars of POEM, “It’s important to first understand the startup founder’s vision. That is her story about the problem and her innovative commercial solution to it.” Regarding the main pillars, Proposition is the product or service offering to a targeted customer base in a specific market. Organization includes the people, processes and technologies that deliver the proposition. Economics is the use of available capital to fund revenue, generating expenses that create impact. And milestones measure progress towards the vision from Pre-seed to Series A.
GreenTec Capital will be releasing an a series of post detailing the POEM framework and how we apply it in our sourcing process. For the moment to learn more about POEM, read TD’s many articles on his Medium.com page.