Ari Klinger’s 4 questions to assess the long game of a company

Here are Ari’s  Level 2 questions that dig into markets, moats, and long term value:

❓1. How big and durable is the market, and where does the company stand?

• 💥Is the market growing, stable, or at risk of disruption? 
• 💥Who are the main competitors, and how are you positioned to win?
• 💥Are there regulatory, economic, or cultural trends that significantly impact the market, positively or negatively?

2. ❓Why’s this team the one to back now?

• 💥What relevant track record or domain expertise does leadership have, and what evidence shows they can execute against ambitious timelines
• 💥How do they attract, motivate, and retain top talent?
• 💥Are they demonstrating an ownership mindset (capital efficiency, free cash flow focus, personal skin in the game)?

3. ❓Is there a strong moat that will last for years?

• 💥What is the biggest threat or disruptor to your model, and how do you mitigate it?
• 💥What’s your competitive advantage, and can it become or remain a defensible moat?
• 💥If you disappeared tomorrow, what would customers do and how quickly could a competitor fill the gap?

4.❓ Can the business scale while improving quality?

• 💥Which new products, markets or partnerships are you considering, and how is your product or technology evolving to stay ahead of competitors? 
• 💥Which metrics and unit economics are you tracking to ensure healthy growth? 
• 💥How do you balance investment in R&D or market expansion vs. near-term profitability?

5. ❓Is the valuation a win or a warning?

• 💥What’s the valuation versus the company’s future potential?
• 💥What assumptions justify this price?
• 💥What are the current and future capital needs (equity, debt, resource allocation)?