Blog of Intellectual Capital

Gerbsman Partners just released some informational material in regards to its “Date certain” M&A process. It makes for some good and thoughtfull reading for entrepreneurs and investors alike.

“Every venture capital investor hopes that all of his investments will succeed. The reality is that a large percentage of all venture investments must be shut down. In extreme cases, such a shut down will take the form of a formal bankruptcy or an assignment for the benefit of creditors. In most cases, however, the investment falls into the category of “living dead”, i.e. companies that are not complete failures but that are not self-sustaining and whose prospects do not justify continued investment. Almost never do investors shut down such a “living dead” company quickly.”

Please click here for the complete text.

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Gerbsman Partners has been retained by the Board of Directors of Identity Engines “IDEngines” or the “Company”; (), to solicit interest for the acquisition of substantially all of IDEngines’s assets, including its intellectual property (“IP”), in whole or in part (collectively, the “IDEngines Assets”)

The Company

Founded in 2004 and based in Sunnyvale, California, Identity Engines has raised approximately $26M in funding from leading Silicon Valley venture firms Horizon Ventures, Lightspeed Venture Partners, and Trinity Ventures.

IDEngines’s assets include patents, products, software, core team members, partially complete software features, prototypes, visionary product roadmap, trademarks, in progress trials, customers, and vendor relationships and market presence.

Interested parties can acquire IDEngines’s core technology, market presence, customer contacts and vendor lists, which would enable the purchaser to leverage existing business and customer relationships for sales growth purposes.

The sale of the IDEngines Assets is being conducted with the cooperation of IDEngines. IDEngines and its employees and retained consultants will be available to assist purchasers with due diligence and a prompt, efficient transition. Notwithstanding this offer of assistance, IDEngines should not be contacted directly without the prior consent of Gerbsman Partners or the IDEngines Board.

For more information, please contact:

Steven R. Gerbsman
(415) 456-0628
steve@gerbsmanpartners.com

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Just came back from a 2 week trip to Italy on business and pleasure.  The streets of Venice and Rome are empty compared to previous years and shopkeepers are crying the blues.  In restaurants, boutiques and jewelry shops, besides a major downturn in business, the Euro is making everything so expensive.

While sitting on top of the Danieli Hotel in Venice, we enjoyed the magnificent scenery, as well as great pasta for 2 and wine.  The tab, $220.  Well the view was great.

Bottom line, the downturn has arrived in Europe and will be effecting retail, tourism and other business segments.  The CURE- well the unthinkable.  Financial and Business restructuring.  As in various Europe countries, the US must realize that we are an insolvent country.  You cannot have continued or growing entitlements and no tax increase.  You cannot continue the spending/deficit’s without the dollars to pay for it.

The challenge with both candidates for President are their unrealistic assumptions. We must cut taxes, stimulate the economy, restructure entitlements and government entities and curb spending.

Like in all restructurings, there will be some pain, but the long term outlook for our children will be improved.

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