Frequently Asked Questions - Q&A

 

1. What are the requirements to be eligible for the A-Road Program?

The Program focuses on scaleups that have already proven commercial validation and revenue traction (relevant to their business sector) and therefore are classifiable as 'almost Series A ready', i.e. ready in a few months for an investment between 2M€ and 10M€.

 

2. What are the sectors in which A-Road typically invests?

In all sectors. The Program focuses on a certain stage of maturity and not on a specific sector.

 

3. How does A-Road differ from other accelerator programs?

The Program is designed for scaleups and integrates both acceleration and fundraising activities. It stands out for the quality of the TOP CEO & Mentors, the Partners of the Program and for the pool of Growth Capital professionals who assist the scaleups in raising capital in a structured and continuous way right from the start.

 

4. How does the selection process work and how do you communicate the results?

The selection follows a process of five stage-gates. From all applications screened there will be a first short list of 20 scaleups that have passed the various checkpoints. Those will be submitted to the final analysis by Growth Engine's Investment Committee, which will select the final 5 and match them with TOP CEOs & Mentors.

 

5. How much is the initial funding?

Growth Engine invests an initial 200k€.  A potential (but not guaranteed) additional amount up to a maximum of 300k€ comes from TOP CEOs & Mentors and members of the Investment Committee.

 

6. When is the initial funding disbursed?

Within one week from the start of the Program, through a convertible instrument.

 

7. What are the financial terms of the initial financing?

A convertible instrument with a 25% discount on the PMV of the Financing Round with Cap and Floor defined by the Investment Committee.

 

8. In addition to the discount, does the convertible include also additional governance rights?

The convertible follows best practices and standards at European level, with 'plain vanilla' clauses.

 

9. If a scaleup has an open convertible "in line" with your requirements, can you subscribe to the one already authorized or do you want a resolution and your own dedicated text?

If the convertible is 'plain vanilla', in line with the standards of the European VC, it does not represent a problem and we can subscribe to it. On the other hand, we will not be able to sign it if it has characteristics that can negatively impact the subsequent fundraising.

 

10. What is the PMV range to be considered in order to be eligible for the program?

Since the Program aims at a Serie A round (from 2M€ to 10M€) within 6 months, and considering a dilution in line with these capital raises, we speak of scaleups that can reach an evaluation between 10M€ and 25M€ within a few months.

 

11. What do you expect in terms of traction? DO you require a minimum revenue or MRR level?

It depends on the sector. In general, there must be at least a defined MVP, a stable team with key people, commercial validation (except for specific cases, such as the Life Science segment). Regarding turnover, it depends on the sector: from millions of GMV/year for a pure e-commerce platform, to hundreds of thousands of Euros for a B2B tech, to lower values in the case of DeepTech solutions with heavy IP. In general we talk about “almost Series A ready”. If in doubt, apply.

 

12. What is the time commitment requested during the 6-month program? What happens if I can't attend all the events?

The commitment required is on average 6 hours per week: 4 hours for workshops and founder's networking lunch every Thursday, 1-2 hours for mentoring sessions. Effort and timing of the fundraising activities depend on the specific needs of the scaleup. Participation in mentoring and fundraising activities is mandatory. Attendance at training, networking and business development events is optional, however it is strongly recommended.

 

13. What are the topics of the training workshops?

We offer a wide variety of workshops designed for scaleups, including: Customer/User Experience, Brand Management, IP Protection, Internationalization, Innovation Management, Digital Transformation, Digital Marketing, PR & External Communication, legal, tax, notary services. Additionally, specific 1-1 consultancy services provided by A-Road Partners are available upon request.

 

14. How is the matching between scaleup and mentor carried out?

Jointly between the Investment Committee and the TOP CEOs & Mentors during the selection process.

 

15. What is the participation fee to the Program?

A-Road's remuneration for the acceleration and fundraising services (retainer) is 40k€, which is deducted from the initial funding.​

 

16. If I consider participating in the near future, should I apply anyway now or wait for the next batch?

In a solar year there are 2 calls for application, lasting 6 weeks. Failure to select during a call does not blacklist you. The call for batch # 3 is scheduled for July 2022.

 

17. Is the Program delivered only in Italian or also in English? Do the application documents (Pitch Deck, Business Plan...) need to be in Italian or in English?

Per default, the Program activities are carried out in Italian, however some of our Partners or Experts are foreign and delivery will be in English. The documents requested for the application can be indifferently in Italian or English.