Imperial Capital Security Investor Conference Review

By: Brian Karas, Published on Dec 08, 2017

Investment bank Imperial Capital holds an annual Security Investor Conference where 60+ companies present, including this year:

IPVM bought a ticket and attended the 2017 event.

In this note, we review the key themes of the event, what investors were most interested in, the themes companies were most typically focusing on and our assessment of who would (or would not) benefit from attending this conference.

********** ************ ************ ** ************** ******** ********** ***** **+ ********* *******, including **** ****:

**** ****** * ****** and ******** *** **** *****.

** **** ****, ** review *** *** ****** of *** *****, **** investors **** **** ********** in, *** ****** ********* were **** ********* ******** ** and *** ********** ** *** would (** ***** ***) benefit **** ********* **** conference.

[***************]

Event *******

******** ******* ******* ~*** *********, and ***** ** *** not ***** ***********, *** event *** ********* ******* attended. ********* **** ************ were **** ***** *-***** executives, ******* **** *********** names **** ****/**********, *****, Feenics, ** ***** ** lesser ***** ******** *** small *********. ********* **** heavily ******** ******* ***** and private ****** *****, **** venture *********** **** ******, as *** **** *** are ****** ***** *********** in *** ******** ********.

*** ***** ** * one-day *******, **** *** cocktails/networking ********* ****** *** evening ******, ***** **** heavily ********. ** *** day ** *** ***** itself, ***** **** *** keynote *************, **+ ****-**** ********* presentations, *** ***-**-*** ******** between ********* *** *********. There were ** "*********" ***** displays ** ***** ********, the **** *********-******** ********, outside ** ************ *******, were ********** ***** ***********. 

*** ***** ***** *** taking ****** *** *:**** breakfast/opening *******.

*************

********* ************* ******* ** the ********** ********** ** a **** *****, ******** strategy, ****** *****, *******, differentiators, ** ******* ******** that ***** **** ** be ******** ** *********. These ************* **** **** to *** *********, ***** ranged **** * *** of *********, ***********, ******** consultants, ** ********** ********. Brief *&* ******** ******** each ************ ***** ********* **** similarly ********-******** *** **** "can **** ******* ***** my *******". ****** ***** **** two ******** ** ******** show **** ** *** content ***** ** ******** metrics ** ******** **** the ******* ***** **** ** more ****** ** **** industry *********** **** *** content ** **** ** a ********* ***** *****:

 

One ** *** ********

*** *** ** *** sessions *** *** ** the ***** ***** ** the *****, ***** ** speaking **** *********. ***** provide *** *********** ** get ** ******* ** a ******* ******* **** with ******* ********** ** hold *********** ******* ******* interference ** **** ** sensitive ******* ***** *********. One ** *** ******** were ****** ** ******** for **** ** *** companies ** ***** ****, and ******* ********* ****** quality ************* ****** ***** sessions. ******** ******* ******* over *** *** ** one ******** **** ********* during **** ***** *****.

Lunch *******

* ***** ******* ******* focused ** ***** ********, seen ** * **** current *****, *** ******, seen ** * ********* upcoming ********** *** ********. For ******, ************ ******* of "****** *****" ***** uses **** *********, ********* inspection ** ******** ************** equipment, ** **-***** ******* for ****** ** **** fighters ******** ********** ** calls, ***** *** ****** can ******* *********** *********. We ***** **** ***** applications *** ****** ** have **** ****-**** ***-***** for ****** **** ** security ***** ************.

Themes/Trends *****

***** ******** *** * topic ******* ** ** several *************, ** **** as *** ******* *******. This ******** *** **** things **** ******* ** Dahua *** ********* ******* (both ********* ************ ********* by **** ** ******** of ***** ******** *******), but **** ****** **** attacks (**** ** *** one **** ******** *** ******* ******* *******) *** **** ******** at *******, ******, ***.

 

***** ****** ********* ******** the ************ ** * strong *&* ******, *** growth ** ***** ********** services, ** **** ******** come ** ****** ** enable ****, *** ********** companies **** *** **** to ****** *** *** replace **** *** **** a ******* ** ******* alarm ********** ******* *** to ***** ********, ********* pursuing **** ****-********** *******, or ********** ********** ********* due ** ***** ***** fines, ** **** ** effective ******** *****. *****-******** alarms *** **** ** a *** ** ******** false ******, ******** **************, and *** *** ***** to *********.

****** ****** ******** * moderate ****** ** ********** as ****, ******** ****** were *** ********* ** any ** *** ************* or *********** ** ********.

Investors ****** ******* *********** *********

********* ** ***** **** were **** ***** ********** in *********** ********* ******* for ***** ** **** (or ****) ***** **********. In **** *****, ********* were ************ ********** ** RMR ******* (*** ******* he *** **** ********** in ********* **** * minimum ** $**** ** RMR), *** ******* ********** (customer *********** *****, ********* times, ***.). ***** ***** were **** ********** *** at *** *****, ******** ******* for *****-***** ******* ***** be **** ****** ** find ******** ********* ** the ******** ******* *****, however ******* ** *** private ****** ********* *** bank *************** **** **** willing ** ******* ******** plans **** ********, ******* advice, *** ***** ***** relationships *** **** ***** startups ***** **** ********** future *******, ****** *** event *********** ******** ** startup **********, ** **** have ****** ************.

Upcoming ******* ********

** **** ** ***** some ******** ******* ********, based ** ******** **** during **** *****.

Comments (10)

Brian, how about deep learning / AI / video analytics? Were any investors talking about that or interested in that space?

It was one of the last topics mentioned in the "Key Trends" section:

It came up in a few discussions, general consensus was that we were still a few years away from seeing reliable analytics as a mainstream offering, but that it was likely to happen "soon".

For the investors at this event, the focus was more on established or proven companies and business models vs. upcoming technologies like analytics. Analytics was most commonly discussed in the context of video monitoring, and a technology that could enable growth or scalability of monitoring (which has a strong RMR component).

"startups looks for early-stage funding would be less likely to find eligible investors at the Imperial Capital event"       Would Barnes Buchanan Security Conference be the better one for startups seeking for funding?   Any others?  

I do not think Barnes Buchanan would be a good source of startup investors eitehr.

These events would probably be best for a startup to discuss/refine their business idea with industry-knowledgeable people, and possibly get references to VCs.

With the relatively low amount of VC investment in the security industry, I am not sure there is an event that is geared towards industry startups seeking funding. For that, optimizing your pitch and attending more traditional startup "demo days" and general-purpose investor events would probably be best. I think if had a really solid idea, a good proof of concept, and a founder or two with domain expertise you might even manage to stand out among some of the more mainstream-oriented startups at these kinds of events.

I attended Barnes Buchanan this year and it was definitely focused on established operators/providers, e.g., debt funding for RMR / contracts. No startup presented.

It's a good question #1, but I don't know of any event or VC that truly focuses on the physical security market. Obviously, investments are made periodically but generally by broader players.

Brian, how are investors looking to make money off of cyber security? Are they looking at companies selling cybersecurity services or? Any noteworthy companies?

Typically through cyber security service providers, companies offering automated scans, automated recurring penetration tests, and then response/mitigation/cleanup services.

There’s not much point in covering/attending capital conferences other than Barnes and the main stat everyone cares about at is deal/rmr multiples. If you want big boy money you need to be basically in the sdm 100 mark which benchmarks around that 200k rmr for entry. That’s the TLDR of all the off shoot VC/Cap presentations.  The larger industry niche lender like cap1 won’t touch a deal unless it is a minimum deal size of around 10mm which equates close to that 200-250k rmr. Integrator shops with less rmr but strong enterprise focus can nab 5-6 ebitda multiple. 

There’s not much point in covering/attending capital conferences other than Barnes

The Imperial and Barnes conferences have different focuses. For us covering primarily product developers / manufacturers, Imperial has value as Barnes is focused more on service providers. 

Login to read this IPVM report.

Related Reports

Integrators Avoiding Coronavirus Air Travel on May 29, 2020
IPVM asked integrators if air travel is part of their 2020 plans to see how...
Milestone Presents XProtect On AWS on May 04, 2020
Milestone presented its XProtect on AWS offering at the April 2020 IPVM New...
Manufacturers And Reed Speak on Planned July 2020 ISC West on Mar 11, 2020
Last week, the drama of the March 2020 ISC West cancellation transfixed much...
The SIA Board Strongly Supports ISC West October 2020 on Apr 23, 2020
The SIA Board strongly supports the upcoming October 2020 ISC West, amidst...
Leica Presents AI LIDAR / Thermal / Visible Camera (BLK247) on May 06, 2020
Leica presented its AI multispectral BLK247 camera at the April 2020 IPVM New...
Anyvision Presents AI Facial Recognition and Mask Detection on Jun 08, 2020
AnyVision presented its AI facial recognition and mask detection at the May...
IPVM To Disrupt Trade Shows With Launch of Online Shows on Mar 17, 2020
IPVM is launching Online Shows, a series of ongoing events that allow sellers...
JCI Slashes ISC West Booth 88.8% on Mar 05, 2020
The mega-booth at the main entrance of the ISC West show floor is now...
Fever Camera Sales From Integrators Surveyed on Jun 01, 2020
Fever cameras are the hottest trend in video surveillance currently but how...
Iryx Presents Multi-Spectral AI Camera on Jun 17, 2020
Iryx presented its multi-spectral AI cameras at the May 2020 IPVM Startups...
SafeZone Tech Presents AI Gunfire Detection on Jun 15, 2020
Safe Zone presented its AI gunfire sensor the May 2020 IPVM Startups...
ZeroEyes Presents Firearm Detection Video Analytics on Jul 09, 2020
ZeroEyes presented its Firearm detection Video Analytics system at the May...
Cancel or Not? Industry Split Over ISC West on Feb 26, 2020
The industry is split, polarized, over whether ISC West 2020 should run or be...
Manufacturers on Virtual 'ISC West' 2020 and Potential ISC West 2021 on Jun 29, 2020
With the 2020 ISC West show now officially canceled, attention turns to...
Vintra Presents FulcrumAI on Jul 02, 2020
Vintra presented its FulcrumAI object recognition and mask detection offering...

Recent Reports

Dangerous Hikvision Fever Camera Showcased by Chilean City on Aug 07, 2020
Deploying a fever camera outdoors, in the rain, with no black body, is...
"Grand Slam" For Pelco's PE Firm, A Risk For Motorola on Aug 07, 2020
The word "Pelco" and "grand slam" have not been said together for many years....
FLIR Stock Falls, Admits 'Decelerating' Demand For Temperature Screening on Aug 07, 2020
Is the boom going to bust for temperature screening? FLIR disappointed...
VSaaS Will Hurt Integrators on Aug 06, 2020
VSaaS will hurt integrators, there is no question about that. How much...
Dogs For Coronavirus Screening Examined on Aug 06, 2020
While thermal temperature screening is the surveillance industry's most...
ADT Slides Back, Disappointing Results, Poor Commercial Performance on Aug 06, 2020
While ADT had an incredible start to the week, driven by the Google...
AHJ / Authority Having Jurisdiction Tutorial on Aug 06, 2020
One of the most powerful yet often underappreciated characters in all of the...
SIA Coaches Sellers on NDAA 889B Blacklist Workarounds on Aug 05, 2020
Last month SIA demanded that NDAA 899B "must be delayed". Now that they have...
ADI Returns To Growth, Back To 'Pre-COVID Levels' on Aug 05, 2020
While ADI was hit hard in April, with revenue declining 21%, the company's...
Exposing Fever Tablet Suppliers and 40+ Relabelers on Aug 05, 2020
IPVM has found 40+ USA and EU companies relabeling fever tablets designed,...
Directory of 201 "Fever" Camera Suppliers on Aug 04, 2020
This directory provides a list of "Fever" scanning thermal camera providers...
Face Masks Increase Face Recognition Errors Says NIST on Aug 04, 2020
COVID-19 has led to widespread facemask use, which as IPVM testing has shown...
Dahua Loses Australian Medical Device Approval on Aug 04, 2020
Dahua has cancelled its medical device registration after "discussions" with...
Google Invests in ADT, ADT Stock Soars on Aug 03, 2020
Google has announced a $450 million investment in the Florida-based security...