The four key ingredients to a successful investment are market, technology, team and valuation:

• Market: Substantial market opportunity; customers' major problems being solved; simple and scalable business model; strategic relationships; user stickiness.
• Technology: Sustainable competitive advantage; intellectual property; manufacturing know-how.
• Team: Track record; awareness of risks (and associated contingency plans); ability to cope with market changes; team energy and dynamics; management transparency
• Valuation: Reasonable, information-driven valuation