Equity Investment Platform Preparation Best Practices

Startup Professionals Musings

If you are one of the thousands of entrepreneurs who need equity funding to get your startup going (no loans to repay), you are probably overwhelmed at the prospect of finding, contacting and pitching to the huge number of qualified angels and investment groups around the country.

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The Difference between Debt Financing and Equity Financing: Which Is Right For You?


Getting the capital you need to run your business can be a struggle for any business owner. When you’re looking for extra funds, there are typically two options: debt financing and equity financing. Debt financing involves borrowing money from a lender outside of your business.

Founder's Dilemmas: Equity Splits

Startup Lessons Learned

Noam is one of a rare breed of business academics: he studies entrepreneurship using a rigorous empirical approach. In Noam’s dataset, 73% of founding teams split equity within a month of founding, a striking number given the big uncertainties early in the life of any startup.

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Don’t Expect An Equity Investor For Your Non-Profit

Startup Professionals Musings

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. You still start the process with a business plan, but then you look for a philanthropist rather than an investor.

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The Far Reaching Implications of The Social Business Model

Duct Tape Marketing

We’ve bolted certain socially enabled practices on to our businesses to provide greater reach, customer service and the pretense of connection, but I wonder if we’ve stopped dreadfully short of the true potential of social. The true social business model involves anyone, everyone, everywhere.

Funding Tutorial for New Entrepreneurs

The Startup Magazine

One of the most significant hurdles that many aspiring entrepreneurs must face involves raising capital to launch their business. With some business models, it may take many months or even a few years until the company can break even or turn a profit on a regular basis.

Founder's Dilemmas: Equity Splits


Founders Dilemmas: Equity Splits. Noam is one of a rare breed of business academics: he studies entrepreneurship using a rigorous empirical approach. The following is an exclusive excerpt which sets up a common pitfall regarding equity splits. Founders Dilemmas: Equity Splits.

Incorporating Your Business: Tips to Follow

The Startup Magazine

If you want to grow your business and achieve added protection for all your assets, incorporating is the way to go. Millennials who own startups and offer innovative solutions to the world are not exempted from the all too tedious legalities of incorporating a business.

The Importance of Promoting Your Brand

The Startup Magazine

Marketers refer to this concept as brand equity. Many aspects help build brand equity, such as brand image, brand loyalty, and brand associations, to name only a few. Because of brand equity, promoting your brand is more important than ever before. Think back to brand equity.

Why Companies are Not Startups

Steve Blank

The Enterprise: Business Model Execution We know that a startup is a temporary organization designed to search for a repeatable and scalable business model. Every large company, whether it can articulate it or not, is executing a proven business model (s).

The 5 Key Stages of Equity Funding

Growthink Blog

When seeking equity investments, the source of capital is, for the most part, tied to the stage of capital being raised. You see, equity capital is raised in stages or rounds. With seed funding, you hope to grow your business and, at the very least, gain proof of concept.

MSME lender Aye Finance raises Rs 233.6 crore in the Series D resulting into two fund raise in the same year

Our Own Start-up

crore in a Series D equity round led by Falcon Edge Capital. Fundraising Aye Finance Aye Finance business model Aye Finance founders Aye Finance funding Aye Finance fundraising Aye Finance investors CapitalG Falcon Edge Capital indian startups Kaushik Anand MSME lender Startup Funding

10,000 Startups – Startup Weekend Next

Steve Blank

The class teaches founders how to dramatically reduce their failure rate through the combination of business model design, customer development and agile development using the Startup Owners Manual. Your team arrives with an initial Business Model Canvas.

Why Governments Don’t Get Startups

Steve Blank

There are six distinct organizational paths for entrepreneurs: lifestyle business , small business, scalable startup, buyable startup, large company, and social entrepreneur. Small Business Startups: Work to Feed the Family. million small businesses in the U.S.

The Helsinki Spring

Steve Blank

Business Angels: FiBAn , Sitra. It’s hard enough to pick which existing companies with known business models to aid. Lack of Business Experience. Direct government funding of startups has also delayed the maturation of business experience of local angels and VC’s.

Private Equity Investing: Secrets of Doing it Right (Part I)

Growthink Blog

Well, in most forms of angel and early-stage private equity investing, these breakdowns flow from a misunderstanding of the power and nature of outliers. The concept of outliers and how they apply to early stage private equity investment was best described by the Lebanese thinker and writer Nicolas Taleb, in his best-selling books "Fooled by Randomness" and "The Black Swan." So does this mean that early stage private equity investing is for the birds?

6 Funding Sources For Good Causes, Without Angels

Startup Professionals Musings

Angel investors and venture capitalists don’t make equity investments in nonprofit good causes. 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.

Reinventing the Board Meeting – Part 2 of 2 – Virtual Valley Ventures

Steve Blank

Reinventing the board meeting may allow venture-backed startups a more efficient, productive way to direct and measure their search for a profitable business model. Startups now understand what they should be doing in their early formative days is search for a business model.

Piercing the Corporate Veil of Sweat Equity


Piercing the Corporate Veil – Sweat Equity Consulting. But much like becoming a co-founder, getting paid sweat equity is essentially becoming an investor in the company. If you did, why would you be consulting for sweat equity instead of investing as a VC or for yourself?

Angel Investors Skip Startups With No Profit Motive

Startup Professionals Musings

Angel investors and venture capitalists don’t make equity investments in non-profits. 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.

Shark Tank Season 4 Week 6 breakdown

Lightspeed Venture Partners

The founders have more demand than they know what to do with, and want to raise $55k for 5% equity in the company to buy a second truck. With low barriers to entry, success for this business will be determined by execution.

Working for Equity Instead of Cash


Small Business Labs. Tracking and Forecasting the Trends Impacting the Future of Small Business. Welcome to Small Business Labs. Small Business Labs, from Emergent Research , covers the key social, technology and business trends impacting small business. EMERGENT RESEARCH is focused on better understanding the small business sector of the US and global economy. Research Brief - Small Business Credit Outlook. Small Business Blogs.

Entrepreneurial opportunities in the vaping industry

The Startup Magazine

Eventually the private equity firms and multinationals take over and it becomes harder for a marginally-funded startup entrepreneur to compete, but for that brief, glorious time, the opportunities seem endless.

Nokia as “He Who Must Not Be Named” and the Helsinki Spring

Steve Blank

Toxic Business Press and Contradictory Government Incentives. Unique to Finland with its strong cultural emphasis on equality and the redistribution of wealth is a business press that doesn’t understand startups and is overtly hostile to their success. Instead the business press dumped on the founders for “selling out.” You find early stage employees expecting to work normal hours, to get paid a regular salary, and not asking or expecting equity.

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Shark Tank Season 4 week 10 breakdown

Lightspeed Venture Partners

Season 4 of week 10 of Shark Tank was interesting because two of the pitches were for internet businesses that I could imagine seeing in my day job as a Silicon Valley Venture Capitalis t. This business can’t work. The next two entrepreneurs run a wine tasting cruise business.

Shark Tank 2012 Holiday Episode Breakdown

Lightspeed Venture Partners

Even after paying the two founders $100,000 collectively in salary, the business still made a profit in the $125,000 to $150,000 range. To build the Coop the two founders took a $125,000 small business loan. As O’Leary said, this isn’t an equity investment.

Shark Tank Season 4 episode 3 breakdown

Lightspeed Venture Partners

It was a busy weekend, so I didn’t get to watch Shark Tank until this evening. He asked for 30% equity plus a $5 royalty until he got his capital back, and for the founder to quit his job to work on Posture Now full time. Business Models shark tank startups

Silicon Valley Frontlines: Two Tales of "Working For Equity"


Two Tales of "Working For Equity". Working for equity only is, realistically, the way most startups have to get going. While there have been times in the last dozen or so years, usually during times of venture capital excess, that cash to founders, early-stage executives and other key employees has matched regular market compensation (still with the upside of the equity), this is not true in the vast majority in the start-up game. Business Management.

Will Work for Equity - Investing in Clients - Arizona Bay


Small Business Success | Mondays and Thursdays. The Goods: Your Business Toolbox | Thursdays. Todays Small Business News | Daily. Writing A Business Plan. Running A Home-Based Business. Naming a Business. Financing a Small Business. Buying a Small Business. RUNNING A BUSINESS. Financing A Small Business. Business Taxes. Selling A Business. Internet and Online Business. Business Software.

Ten Experiments To Test Your Startup Hypothesis

David Teten

That is what I’ve seen happen with the “ Lean Startup ” philosophy of viewing your startup as a scientific experiment in search of a business model. For example, “ What CRM tools are used by venture capital and private equity funds? ”.

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How we Hire for Sweat Equity (Part 2)…


Next → How we Hire for Sweat Equity (Part 2)… Posted on April 7, 2011 by Travis Biziorek. equity in the company. We have an idea and model that we have been told is “the best idea I’ve heard in long time” by many people with the power to make it happen. Sounds like you pivoted from your original business model. Drowning American. Musings on Life and the American Dream. Search. Main menu. Skip to primary content.

Shark Tank Season 4 week 8 breakdown

Lightspeed Venture Partners

She is far too inexperienced as a business person, as is evident from the sorry history of the last twelve months. He sought $25k for 15% equity in the company. Business Models shark tank startups

How to Fund Your Startup Without Losing Control

Up and Running

Capital investments are like gasoline on a startup business’s metaphorical fire. They allow you to hire more people, purchase new technology, and establish new business connections, among many other benefits.

Finding Money in the 2010's

The Entrepreneurial Mind

I received a very timely e-mail this morning from a Belmont alum, who is trying to start a business here in Nashville. They do play a role, but only a limited one with later stage businesses that have good cash flow. After all, you need equity in your home to be able to lend against it. But, they still want high growth and they will be VERY active in the management of the business. Growth takes time with this approach to building a business.

Interview with Sramana Mitra on 1M/1M Program

Life Beyond Code

Once the $1 million revenue milestone is crossed, entrepreneurs find it easier to find additional customers, manage working capital, and access funding, whether it is credit or equity. a distributed, democratic model of capitalism. We want every entrepreneur to have access to our curriculum and incubation services, and give them an opportunity to build their businesses, irrespective of the scale of their entrepreneurial aspirations. 1M/1M Program has a bold mission.

IPOs, M&As, Liquidity, & You. (the entrepreneur)


Plan to prove your business model and get to positive cash flow with angel money and without VC investment. Then, plan an early M&A exit to a much larger player who is deliberating a “make versus buy” decision on your business proposition. Locate the nearest exit angel investment angel investors entrepreneurs entrepreneurship equity exit strategy initial public offering IPO liquidity shareholders startups VC venture capital

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10 Keys To A Startup Surviving The First Five Years

Startup Professionals Musings

According to my experience and a this Motley Fool article, the challenge is very real, with around half of all new businesses no longer existing after five years. It always reduces risk to plan your business first. Apply for contests and business grants.

What does WP Engine’s $250 million funding round from Silver Lake mean for the Austin Startup Scene…

Austin Startup

Yesterday WP Engine announced they had reached $100 million in annual recurring revenue (ARR) and received a $250 million investment from Silver Lake, the premier technology private equity firm that also took Dell Technologies private. austin funding private-equity startup texas

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Top Startup Fundraising Mistakes to Avoid

Early Growth Financial Services

That your business model is viable. These … Continue reading → Investment Capital: Equity / Debt / VC FundingThis guest post was contributed by BJ Lackland, CEO of Lighter Capital. Raising money for your startup can be a 40 hour per week job—one you have to do in addition to the work-a-day job of managing and growing your company.

10 Ways Entrepreneurs Find Money To Start A Business

Startup Professionals Musings

One of the most frequent questions I get as a mentor to entrepreneurs is “How do I find the money to start my business?” On the other hand, there are many additional creative options available for starting a business that you might not find for buying a car, home, or other major consumer item.