Posts Tagged ‘Investors’
6 Crucial Steps to Take Before You Seek Investors for Your Business
Investor support is one of the most pivotal aspects for small businesses. When you are looking to make it big as an entrepreneur your saved capital is not enough, and you will need help from people who find a future in you. But, there are 6 important things to keep in mind when it comes…
Read MoreYour Business: Grow It and Hold It?
Taking money from professional investors such as angels or VCs usually requires that you agree to seek an exit for those investors in your plan, often targeting five to seven years as the ideal period for growth before a liquidity event. Of course, even though that is your contract with the investors, way over half…
Read MoreWhat Matters Most to Venture Capitalists
Make no mistake—pitching your startup to investors is tough. You may think your company is the next big thing, but so do a lot of other founders. And just like you, they’re keen to get their hands on venture capital. How do you stand out? Having a unique product is a no-brainer, but a successful…
Read MoreRaise Money on Good News
The first rule for raising money is to do it on good news—right when sales are increasing at an increasing rate. Or when a major customer signs a significant deal. Or when something happens that makes an investor think this company is about to break out. Unfortunately, the longer you wait without significant upward news, the harder…
Read More10 Mistakes Entrepreneurs Should Avoid with Venture Capitalists
Entrepreneurs often know more about running their business than they do about raising funding from venture capitalists. As a result, their attempts to get VC funding fall short. There are a number of typical pitfalls that an entrepreneur or startup should try to avoid when working with venture capitalists or soliciting funding. Rob Jevon is…
Read MoreThe Best Advice Startups Will Never Follow
Let me tell you a few short hair-raising stories of entrepreneurs who have raised money and regretted it later. Here are some rules that entrepreneurs almost always ignore to their future peril. Don’t take money from relatives who can’t afford to walk away without remorse. Do take money from experienced family members only after you…
Read More7 Investor Term Sheet Demands Startups Need Not Fear
Most entrepreneurs looking for an investor can tell you how much money they need, but few have given much thought to what they are willing to give up for it. Perhaps they’re way off in their valuation (usually far too high), or paralyzed by fear at seeing the other terms, because they have no idea…
Read MoreAngels and VCs: Don’t Be Greedy Even if You Can
Sometimes the end game or sale of the company is not a happy event for the early investors, including the entrepreneur or the founders. Especially when outside investors, venture capitalists or angels have put in substantial money, and the sales price is not enough to give them a reasonable return for the time and money invested,…
Read More4 Screens Potential Franchise Investors Must Pass
You’re planning to invest in a franchise, and you’re probably shopping around. You’re checking out the various options, thinking about your personal goals and preferences, talking with other franchisees—really scoping out all the businesses you’re considering. That’s what you should be doing. Getting plenty of information helps you determine with confidence which franchise opportunity is…
Read More8 Ways an Investor Pitch Differs from a Product Pitch
When pitching to investors, entrepreneurs always seem to start with a customer pitch, then add a slide or two about the business. In reality, they need a separate pitch about the business, carrying over only a slide or two about the solution. Remember, investors are buying into the business, not the product. Investors are business…
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