Category Archives: Raising money

Can you defend your plan without being defensive?

When meeting with investors or even your board, during the period devoted to feedback after your presentation, you will hear comments and recommendations that don’t resonate with you. Some will be from a misunderstanding of your explanation. Some listeners will … Continue reading

Posted in General, Growth!, Raising money, Surrounding yourself with talent | Leave a comment

Don’t get hung up on early stage valuation.

Here’s the “what.” I can’t tell you how many times I’ve walked away from deals where the entrepreneur insists on a start-up pre-money valuation that is so high, no angel could expect to make a return upon the investment, even … Continue reading

Posted in General, Ignition! Starting up, Raising money | 1 Comment

Raising money? Find your champion.

Increasing your chances of success If you seek funds from an organized investment group such as an angel fund, venture capital entity, or even an investment club, the first thing you want to do is to find one person to … Continue reading

Posted in General, Raising money | Leave a comment

Financing with grants, not equity or debt

First, an example of grant-based financing           I was chairman of a company that, for twelve years never took a dollar of outside investment.  The company was funded entirely by grants from the National Institute of Health, amounting to millions … Continue reading

Posted in General, Raising money | 1 Comment

When should you go for equity financing?

Let’s take a few minutes to examine the kind of equity financing available to small or early stage businesses. In most cases, these applicants for equity funding  must be rooted in technology to apply to this limited discussion. Friends and … Continue reading

Posted in Raising money | Leave a comment

Three Important Issues for Your Business Plan

Some professional advice            Here’s more advice from professional investors for aspiring entrepreneurs.  Each of us has a list of things we look for early on when identifying whether we want to go to the next step in analyzing a … Continue reading

Posted in General, Ignition! Starting up, Raising money | 2 Comments

Should you include your sweat equity in a business plan?

Investors love it when entrepreneurs draw little or no money from their startups.  It extends the cash available for research and other necessary fixed costs and gives the fragile, young company more “runway” to get to breakeven. What are you … Continue reading

Posted in Ignition! Starting up, Raising money | Leave a comment

An economics lesson for growing companies

Catching up from past insights Growing companies usually require more working capital during their periods of rapid growth.  In past insights we have calculated the amount of additional capital needed for a business as it grows, and the additional capital … Continue reading

Posted in Depending upon others, Growth!, Protecting the business, Raising money | 1 Comment

Here’s how NOT to define your competition

We investors see this all the time. An entrepreneur pitches using a deck with no slide for competition. When asked (as we always do,) the response is “This is new. We have no competition.” Niet!  No! Unh unh. Professional investors … Continue reading

Posted in Finding your ideal niche, Ignition! Starting up, Positioning, Raising money | 1 Comment

What’s the minimum information to give your investors?

Every investor wants regular information from companies taking their money.  And most of us investors are frustrated by the lack of regular communication – unless of course – the company needs more money. On the other side, entrepreneurs and CEO’s … Continue reading

Posted in Depending upon others, Raising money | 2 Comments