Honest deal: PE, VC firms seek trust in firms they fund

No deal can advance without mutual trust. Enhancing trust is achievable by implementing higher governance standards, clear communication, ethical practices

Private equity (PE) and venture capital (VC) funds have seen it all: A booming economy in 2019, abrupt helplessness during Covid-19 in 2020 and 2021, elementary steps for recovery in 2022 and the “new normal” of 2023 and 2024 (but not before a long funding winter and extended deal cycles). Add to this, the complexities of certain investments going bankrupt and instances of financial fraud, mismanagement, and poor corporate governance in investee companies. The changing landscape of over the last five years has meant that they need to tweak their investment strategies constantly.

Corporate governance is a key aspect of company