Investment criteria

VTT has a number of criteria to consider before investing in a company. Our most important criteria is that the idea is relevant to the Volvo Group, which means that there are mutual interests with our current or future business. In addition to this we would like to see:

Value and Growth potential
VTT invest in companies that have a business model leading to a profitable company. Developing a profitable business increases the value of the company and provides improved returns on invested capital.

Excellent management team
The competence and quality of a management team is a crucial factor in the success of a company. VTT puts great effort in securing the right leadership for the company.

Shared vision of future business
VTTs goal is to develop our portfolio companies for a successful exit. A prerequisite for this is that the founders share our vision for the future of the company and our view of factors such as milestones in the business plan.

Syndication and minority positions
VTT try to syndicate all of our investments with other Venture Capital companies. Different investors have different networks and experiences which increases the probability of a successful growth.

Customer base wider than Volvo Group
Investing in technology, services and processes with applications both within and outside of the Volvo Group results in several advantages. The company gets a large potential customer in the Volvo Group and Volvo gets a supplier with other customers which enables a possibility to share the development cost.

VTT's contribution more than capital
VTT is not a financial investor. We invest only in companies where we believe that VTT can make a difference in the development of the company.

Accordance with Volvo core values
The core and future of the company must conform to the core values of Volvo; quality, safety and environmental care.

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