Russell Cleveland and RENN Capital Group have identified four important factors specific to making companies worth investing in. Our Big 4 investment strategy involves the following elements for success:

1. The CEO must have significant ownership in the company.
2. The CEO must have a big vision and a clearly defined plan to make that vision a reality.
3. The company must be profitable (or at least be making progress toward profitability).
4. The stock must be reasonably priced.

The more of these characteristics that our portfolio companies have, the more they get our attention.

It's no accident that we listed CEO ownership as number one. It's the essential element in our equation. We want to partner with and invest alongside genuine entrepreneurs. We define that as CEOs who have invested their own money in the companies they run. When a CEO has skin in the game, we don't have to worry about his motivation. Stock options alone don't elicit the motivation needed to make a real difference in a company's performance.

	For more information select one of the following links: Entrepreneurial CEO investing Renn Capital Finding Midas Book