Innovation unleashed. Is a spin-off the right approach for a new business model?
In a rapidly changing business world, innovation is the key to long-term success and growth. For companies that want to stay at the forefront of innovation, the question often arises as to how best to bring new business models to fruition. In addition to a spin-off into a separate company, there are other strategic options that companies can consider to drive innovation projects forward. One option is to further develop the new business model within an existing department while the new business model is still in its infancy. Another option is to set up a completely new department within the company that focuses exclusively on developing and scaling the new business model. However, another strategically smart option is to spin off into a separate company – a process that combines flexibility with structural independence.
Innovation in SMEs: How venture building is revolutionizing traditional industries and helping to achieve sustainable growth
At a time when traditional manufacturing methods are being put to the test, the successful implementation of the CASTFAST project by Eisbach Partners demonstrates how venture building can transform medium-sized companies. This approach is not only a catalyst for innovation, but also a model for sustainable and adaptive growth in the highly competitive casting industry.
Venture building as a tool for private equity value creation
The global PE market is growing exponentially. According to Preqin, global assets under management are expected to reach USD 9 trillion by 2025. While this growth trajectory is a sign of the sector’s resilience, it also highlights the increasing competition for attractive investment opportunities. With more capital available for fewer transactions, average purchase price multiples have skyrocketed, making traditional value creation through financial engineering and market timing more difficult.
Corporate venturing: Unleashing innovation for sustainable success
Today’s business landscape demands more than ever the willingness to think outside the box and leave the comfort zone. Why? The answer is simple: To secure the company’s own future viability and competitive position. In this context, Corporate Venturing is a key approach for companies striving for sustainable innovation.