YoungUpstarts

OCTOBER 19, 2018

You need money for operations, but most importantly, you need money to grow. When you’re looking for extra funds, there are typically two options: debt financing and equity financing. Debt Financing. Debt financing involves borrowing money from a lender outside of your business. Equity Financing.

Finance 157

Finance Equity Vesting Dividend 157

Up and Running

NOVEMBER 12, 2014

Then, the unveiling of the Securities and Exchange Commission’s proposed equity crowdfunding rules reveals a panacea for growing your business’s coffers. Donation and equity crowdfunding both appeal to the public’s desire to participate collectively in fulfilling others’ entrepreneurial visions. The investors. Set a Fundraising Goal.

Equity 125

Equity SEC Technical Review Security 125

Austin Startup

OCTOBER 11, 2021

the world’s largest senior care network and technology platform which recently acquired global home care provider Home Instead , today announced it has raised $70 million in Series E funding and $300 million in debt financing. The round brings Honor’s total equity funding to date to $325 million and values the company at over $1.25

Technical Review 62

Technical Review Engineer Finance Technology 62

David Teten

MARCH 14, 2018

I’ve listed them below in *very* roughly descending order of efficiency, measured by increased dollars one can put to work, divided by the operational dollars required to implement each strategy. . Sophisticated VC and private equity funds have a wide array of options for leveraging outside operating executives.

Private Equity 60

Private Equity Venture Capital Equity Cofounder 60

View from Seed

SEPTEMBER 18, 2019

Businesses with a geo/city-based operations – city GMs/on-the-ground ops teams. Operations/Logistics-heavy business – transition from 3PL to in-house fulfillment center/teams at X volume. Enterprise SaaS/B2B software – account executives (AEs) and sales developement reps (SDRs). The “product roadmap”.

Part-Time VPE 195

Part-Time VPE Seed Stage CTO Hire Forecast 195

The Startup Magazine

SEPTEMBER 21, 2021

The primary goal of any corporate firm is to benefit from the business’s finances while operating at its maximum capacity. Entrepreneurs often feel like spending too much time sorting out the finances can lead to a halt in developing innovative ideas for the growth of the business.

Finance 155

Finance Balance Sheet Operations Framework 155

YoungUpstarts

NOVEMBER 22, 2019

Apart from a brilliant idea, finance is an important factor for starting a business. In this post, we’ve summarised the top 8 sources of finance for small businesses. Self-financing. Self-financing is another popular source of financing. You can extend this pool of funds by taking out a home equity line of credit.

Finance 194

Finance Small Business Angel Investor Exit Strategy 194

YoungUpstarts

MARCH 4, 2019

Though personal income taxes will usually not be due until the middle of April, organizing your finances at the end of each year is an absolute necessity. Balancing Assets, Liabilities, and Owner’s Equity. The formula that your business ought to use for a balance sheet — without exception — is assets= liabilities + equity.

Balance Sheet 172

Balance Sheet Software Review Equity Cofounder 172

YoungUpstarts

APRIL 16, 2020

If the situation is dire, you may also consider recapitalizing the business through a debt refinancing or by selling equity. See if you and your finance staff can answer these questions: When did my business become unprofitable, and what caused the change? Focus on operating efficiencies. What are my top 3 costs?

Recapitalization 200

Recapitalization Forecast Software Review Finance 200

ReadWriteStart

JUNE 1, 2020

Reasons for funding. ? Scale up your operations. One of the most prominent reasons for funding is to scale up your operations, for expansion and achieve economies of scale. Now you may want to scale up your operations or expand your presence. The third reason is to fund your short term operational expenses or working capital.

Startup 150

Startup Entrepreneur Elevator Pitch Seed Stage 150

YoungUpstarts

AUGUST 20, 2019

Finance companies increasingly recognize that their people are the most valuable resource and need to be managed more thoughtfully as well as efficiently. Finance companies now consider mobile oriented tech as part of the core work-flow. The industry relies heavily on its ability to get work done efficiently.

Technical Review 127

Technical Review Software Review Private Equity Cofounder 127

The Startup Magazine

JUNE 4, 2023

In a perfect world, small businesses would have an endless stream of revenue coming in and there wouldn’t be need to worry about financing. Sometimes businesses have to get creative when it comes to their small business financing, especially when revenue is low. However, we all know that’s not the case.

Finance 108

Finance Revenue Small Business Bootstrapping 108

Startup Professionals Musings

SEPTEMBER 20, 2017

Angel investors and venture capitalists don’t make equity investments in nonprofit good causes. Obviously, these companies still need money to get started, or finance growth, just like a for-profit company. What options do they have available to them, since they can’t sell a share of the company (no equity investment)?

Angel Investor 132

Angel Investor Equity Technical Review Exit Strategy 132

The Startup Magazine

AUGUST 16, 2020

You also recognize that to do this swiftly, you require some form of financing. This is particularly the case if you make unwise decisions with regards to the way you finance the expansion. This is an integral step in the financing process. Also, a valuation is required for specific financing options. You want to grow.

Finance 162

Finance Valuation Equity Search 162

www.entrepreneur.com

SEPTEMBER 22, 2011

Entrepreneur Homepage Startups Starting a Business Home How-To Guides Startup Basics Business Ideas Business Planning Startup Financing Success Stories Home-Based Business Starting a Business Play Video How to Take a New Product from Just an Idea to a Business (Video). Financing Some Jobs Act Proposals Make Headway. July 31, 2007 |.

Sweat Equity 55

Sweat Equity Equity Fractional CTO CTO 55

The Startup Magazine

MARCH 30, 2022

Every organization should be aiming to achieve growth, and this is a particularly important concern for startups that want to scale their operations consistently. This is where growth financing options come into play. So what is it exactly, and to what extent can you finance the growth of your startup using it? The advantages.

Finance 133

Finance Dilution Green Revenue 133

David Teten

JANUARY 19, 2021

From traditional equity VC, Flexible VC borrows the option to pursue and reap the rewards of an outsized exit. Flexible VC 101: Equity Meets Revenue Share. Equity Ownership. Yes, typically preferred equity. On average, founders own just 43% of equity by Series B , declining thereafter. Flexible VC 102: Variations.

Cofounder 78

Cofounder Technical Review Equity Dividend 78

David Teten

AUGUST 19, 2019

This structure offers some of the benefits of traditional equity VC, without some of the negatives of equity VC. I’ve been a traditional equity VC for 8 years, and I’m now researching new business models in venture capital. The average monthly operating expenses is $70,335. Which VCs are comfortable using this approach?

Revenue 60

Revenue Technical Review Software Review Equity 60

YoungUpstarts

MAY 27, 2019

Implementation is different to theory and ideas, so you need to be able to bring operational performance and many other skills to the table. Other businesses fail because they raise the wrong kind of money, such as debt they can’t repay on time or equity that causes them to lose control of their business.

Cofounder 170

Cofounder Private Equity Software Review Equity 170

ReadWriteStart

JANUARY 20, 2020

Construction, utilities, transportation, retail, finance, insurance and real estate startups are industries that hit hardest on startups with an average failure rate among them of 40%. All while the majority of the economy is driven greatly by boring industries often owned by private equity, not venture capital. 53% by year four.

Sweat Equity 107

Sweat Equity Non-Compete Startup Azure 107

The Startup Magazine

AUGUST 29, 2019

Bank provides two types of finances, namely, working capital and funding. The working capital loan is required to run a complete cycle of revenue-generating operations. However, the loans can also be used to buy, start, or operate a business. Usually, banks are the first go-to place for entrepreneurs when looking for a loan.

Startup 95

Startup Government Valuation Technical Review 95

www.avc.com

SEPTEMBER 22, 2011

Employee Equity: How Much? The most common comment in this long and complicated MBA Mondays series on Employee Equity is the question of how much equity should you grant when you make a hire. And the amount of equity you need to grant to accomplish these hires is also an art and most certainly not a science.

Equity 64

Equity Employee CTO Hire Fractional CTO 64

The Startup Magazine

JUNE 14, 2019

It is estimated that at least 80% of all startups rely on personal funds from their founders for operations, albeit in their formative stages. If you have been self-employed, you probably have had episodes where you cannot clearly differentiate between work and personal finances or time. What’s the difference? 1. Savings.

Balance Sheet 126

Balance Sheet Limited Liability Company Bootstrapping Startup 126

Tim Keane

MARCH 9, 2011

How should I finance my new venture? It’s a deceptively simple question:  what is the optimal way to finance a new startup? This seems like an easy topic – debt where there is appropriate cash flow, equity when there isn’t.  What are the reasons to choose one financing structure over another?

Finance 83

Finance Bootstrapping Startup Equity 83

Startup Professionals Musings

FEBRUARY 15, 2015

Angel investors and venture capitalists don’t make equity investments in non-profits. Obviously, these companies still need money to get started, or finance growth, just like a for-profit company. What options do they have available to them, since they can’t sell a share of the company (no equity investment)? Marty Zwilling.

Angel Investor 120

Angel Investor Equity Technical Review Exit Strategy 120

The Startup Magazine

MARCH 20, 2019

Finance is one of the very subtle sectors of a business that can make or break entrepreneurs. Ideally, all companies need finances for daily operations. This is what makes the concept of finance very important as an area for all organizations to cover. Operational expenses. To make profits. Asset creation.

Finance 104

Finance South Africa Africa Operations 104

YoungUpstarts

OCTOBER 10, 2014

Loan financing and equity investment are two common methods of funding a new business start-up, assuming you do not have the capital on your own. Debt financing is the better choice when you prefer to retain control of your operation, and you do not mind the tradeoff of greater risk for higher earning potential.

Equity 176

Equity Limited Liability Company Vietnam Finance 176

The Startup Magazine

MARCH 15, 2020

New businesses need a source of finance to start up and expand. Both equity and debt financing have their pros and cons. You might not be in a position to service your loan when the operating profits fall. Financing Cost. Before you take any loan, make sure you understand the structure of the financing arrangement.

Finance 101

Finance Dividend Equity Security 101

Gust

DECEMBER 21, 2013

The direct answer to your question is NO, VC and PE funds do not provide debt financing for any companies. For venture capital, this is typically ten times the invested capital, and those returns can only be achieved through equity appreciation, not debt service. That would typically be done before you start the company.

Private Equity 139

Private Equity Venture Capital Equity Finance 139

ReadWriteStart

JANUARY 20, 2020

All while the majority of the economy is driven greatly by boring industries often owned by private equity, not venture capital. Most Startups Are Poorly Managed The reality is, most 20-somethings that start businesses lack the operational, managerial, sales and financial expertise to scale anything.

Sweat Equity 78

Sweat Equity Non-Compete Startup Azure 78

Startup Professionals Musings

JUNE 20, 2016

Even if your product is a technological marvel, I look for balanced strength on the team in finance, marketing and operations. Investors all know that the startup road is long and hard, so they look for people who have put and will continue to put “skin in the game” -- time, sweat equity, and money. Build your dream team early.

Sweat Equity 152

Sweat Equity Entrepreneur Elevator Pitch Software Review 152

Both Sides of the Table

FEBRUARY 6, 2013

But not anal if one founder who shares equity graciously with early employees who are treated as “co-founders” My idea startup team is heaving on tech personnel but also has strong product management. Equally – a great VP Finance can be leveraged well to take on finance, legal, HR and much of the operational tasks.

Cofounder 388

Cofounder Early Stage Startup Silicon Valley 388

YoungUpstarts

SEPTEMBER 23, 2017

Deciding whether to increase money or trade equity in the business for much needed assistance, could be a tough call. I raised money and traded equity, but with my venture, I had to make one of the toughest decisions, to build it with some assistance of co-founders. Both the choices tend to take away a few options. Plan, Plan and Plan.

Cofounder 124

Cofounder Sweat Equity Equity Dilution 124

YoungUpstarts

OCTOBER 28, 2015

This article highlights their advice on issues ranging from financing to patent trolls: While startups may believe lawyers are too costly, working with one early on avoids potentially serious problems later. They also need to decide whether to structure terms as an equity deal or a convertible security deal. Convertible Securities.

Convertible Security 100

Convertible Security IP Technical Review Software Review 100

Startup Professionals Musings

SEPTEMBER 15, 2012

Obviously, these companies still need money to get started, or finance growth, just like a for-profit company. What options do they have available to them, since they can’t sell a share of the company (no equity investment)? There is no discussion of equity, or return on investment. Individual and institutional donations.

Angel Investor 218

Angel Investor Technical Review Exit Strategy Equity 218

The Startup Magazine

JANUARY 24, 2020

Hiring is one of the most challenging parts of running a business, no matter how large or small your operation is. Giving up too much investor equity. Financing your business is another obstacle you may face in the launch process. If you’re committed to making your startup a success, be sure to read this guide first.

Software Review 142

Software Review Startup Technical Review Hiring 142

Both Sides of the Table

AUGUST 14, 2017

As a starting point the board is intended to have legal and financial responsibilities to a few key constituencies: shareholders, debt holders, creditors, employees, government and major parties with whom the business operates. ICOs certainly have a place in startup financing.

Cofounder 217

Cofounder Stock Options Equity Technical Review 217