How To Raise Seed Money Right (And Wrong)

YoungUpstarts

I need to admit to a personal bias right up front: I am not the biggest fan of borrowing seed money. In fact, when I founded Fit Body Boot Camp , I never took a single of cent of seed money, mainly because I wanted to maintain total control of my vision.

Don’t Forget Grants If You Need Early Seed Money

Startup Professionals Musings

In the US, many entrepreneurs see grants as “free money,” since they are not loans and don’t have to be repaid. If you meet all the requirements, complete all the paperwork, and submit your grant application today, it will likely be six to nine months before you see any money.

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Don’t Forget Grants If You Need Early Seed Money

Gust

In the US, many entrepreneurs see grants as “free money,” since they are not loans and don’t have to be repaid. If you meet all the requirements, complete all the paperwork, and submit your grant application today, it will likely be six to nine months before you see any money. Professional help costs money. For example, federal and state governments don’t provide grants for starting a business, paying off debts, or covering operational expenses.

A Quality Benchmark for Accelerators: The Global Accelerator Network

Feld Thoughts

To become a member, each accelerator must meet the following strict criteria: Operate a 3-6 month long program. Provide some sort of seed capital to their founders. In addition to these eight criteria, all members follow the established ethos (give before you get; put entrepreneurs first) of accelerators in GAN, including a thorough review of an accelerator’s term sheets and numerous conversations to vet accelerator founders’ intentions and operational practices.

Should Startups Care About Profitability?

Both Sides of the Table

They both raised angel / seed money of $1.5 million to fund operations in their first year of operations. After all, they doubled their operating costs when they weren’t even profitable. Should they have slowed down operating costs in order to “make a profit.”

Busted or Confirmed? 3 Common Myths About Starting A Business

crowdSPRING Blog

Time and time again, experts in entrepreneurship and business (often with little to no operating experience of their own) offer formulaic advice on what startups must do to succeed. Myth #2: You need a lot of money to start. There are many myths about what it takes to start a business.

Should Startups Focus on Profitability or Not?

Both Sides of the Table

Being profitable allows you degrees of freedom you don’t have when you rely upon other people’s money. Operating Costs. They both raised angel / seed money of $1.5 million to fund operations in their first year of operations.

A Year in Review: 2016

Version One Ventures

At the same time, seed money is still abundant due to the proliferation of micro VC over the past few years. They started with a simple question: if 100 startups raise a Seed round, how many of those will go on to raise a Series A, and then a Series B ? The challenge here is that founders – having an easy time raising their seed rounds and maybe Series A – can be lulled into thinking that each subsequent round will be just as easy.

Guaana And Prototron Team Up To Link Ideas And Scientists

ArcticStartup

"The co-operation has been up and running for the few weeks and first ideas have already seen significant boost from sharp minds around the world," says Marko Russiver, co-founder of Guaana. "In

Top Startup Advisor Paul Graham Just Warned Against Taking Google's Money

www.businessinsider.com

JOB OF THE WEEK: Operations Manager. Microsofts New Enterprise Operating System Is Going To Be A Big Hit. Your Money. Top Startup Advisor Paul Graham Just Warned Against Taking Googles Money. The pattern is: youve already raised some money at a cap of $x. Login.

Startup Business Investments Around The World

YoungUpstarts

As recent as 2016, for example, many business ideas from great minded entrepreneurs came to life, including those related to cancer cure, fast internet connectivity, business news, self-driving trucks, drones for relief operations, and so much more.

Figuring Out FourSquare

Seeing Both Sides

million in its series A financing and kept the burn rate at less than $100k per month to make he money last. Dennis wrote a great post at the time of the financing that showed just how product obsessed he was, even after taking the seed money. Raising money, scaling the team.

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How H&R Block Turned a $5,000 Loan Into a 24 Million-Customer Business

Inc Startups

Henry Bloch built his company from a two-man operation into the largest tax preparation company in the world, with 24 million customers a year. Having little seed money can be an advantage. We weren''t trying to make the most amount of money.

3 Reasons to Look to the Angels for Start-up Funding

Inc Startups

But at the initial seed financing stage of your start-up, VCs are not always the better option In fact, angel investors often have more to offer. To date these folks have provided connections and guidance that comes from their own operational backgrounds. VCs can pack a powerful punch.

Can This Start-up Shake up the Art World?

Inc Startups

And second, many sharing services operate on the theory that people would rather not pay for assets when they're not using them. Consumers can already rent dresses, cars, and DVDs by the day. Why not fine art? Everyone wants nice things.

Interview with Shaul Weisband, Co-Founder of the Gifting App, Jifiti

Blogtrepreneur | Entrepreneur Blog

Whether it’s a jacket we just tried on at the Gap or a new game at GameStop––someone at home is not going to be happy that we spent our money on something new. Recently you raised a significant amount of seed money. What is Jifiti?

Entrepreneurs that Got Filthy Rich in 2011

Inc Startups

Eric Lefkofsky provided $1 million in seed money to Andrew Mason to develop the idea for the coupon buying site. Still, it’s not just about the money, says Vechey. Mark Zuckerberg isnt the only entrepreneur good at making bank.

Where to Get Feedback on Your Business Pitch

Up and Running

They ended up with a nice pitch, and approximately $300K in seed money.”. He warns that although quality and prize money vary from competition to competition, they can be a great way to practice pitching in a setting designed for getting feedback. Operated by the U.S.

Want $50k in Seed Funding? Apply now.

ReadWriteStart

A new program that began earlier this year is looking for five IT-centric entrepreneurs to receive seed funds along with a series of services. The $50k seed money isn't a grant, but an equity investment by Capital Innovators.

5 Reasons to Avoid Silicon Valley

Inc Startups

Silicon Valley is a hugely expensive place to operate your start-up and depending on what product you’re selling, locating there might handicap your chances for success. Too much seed money. But odds are good they’ll lose the seed round lottery and fail.

How to Start a Startup

www.paulgraham.com

You need three things to create a successful startup: to start withgood people, to make something customers actually want, and to spendas little money as possible. The way a startup makes money is to offer people bettertechnology than they have now. Andyet theres a lot of money at stake. Microsofts originalplan was to make money selling programming languages, of all things.Their current business model didnt occur to them until IBM droppedit in their lap five years later.

SkySQL Raises €3 Million Series A Round

ArcticStartup

SkySQL serves customers such as ATOS Worldline, Canal+, Deutsche Telekom, ClubMed, Lotte.com, La Poste, Constant Contact and Virgin Mobile, and has operations in Asia, Europe, and North America. The company was founded October 2010 and has been funded to date with seed money from OnCorps, as well as Open Ocean Capital. ”We

Lyft CEO: 'Think of Every Dollar as the Last You'll Ever Get'

Inc Startups

It’s a strategic mindset that seems antithetical to the way that most companies operate. i.e. companies make goals based on the assumption more money will always be coming. The duo got $30,000 in seed money from an angel investor.

Copenhagen's Opbeat Raises €1.75 Million From Balderton & Facebook, Instagram, and Spotify Co-founders

ArcticStartup

To help carry some of that burden, they''re announcing a new startup, Opbeat and a lot of money and smart people behind it. Small teams of developers end up wasting valuable hours to bring together tools to manage their web operations, when they could be working on more productive things.

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How to Fund a Startup

www.paulgraham.com

A typical startup goes throughseveral rounds of funding, and at each round you want to take justenough money to reach the speed where you can shift into the nextgear. At Viaweb we got our first $10,000 ofseed money from our friend Julian, but he was sufficiently richthat its hard to say whether he should be classified as a friendor angel. The advantage of raising money from friends and family is thattheyre easy to find. But as well as money, theres power.

The Legal Side of Entrepreneurship

YoungUpstarts

Startups need to understand how to manage the seed money they receive from investors and VCs. Startups bear the costs of their financing, from the first seed investment to the sale of Series A stock. by John Vrionis, partner at Lightspeed Venture Partners.

No Capital? No Problem. What You Get For Free Is Priceless

OnStartups

Using only your own money means you can grow at your own pace as your business has the resources to handle it. Instead, what's in style is the image of a frugal and innovative operator who thrives in the face of daunting conditions using only his or her wits, sweat, and discipline.

Mentors-Plus-Capital Programs – Intense Incubation

Startup Professionals Musings

There is a growing fellowship of special-case start-up programs operated by closely-knit, permanent groups of angel-mentors. What’s special about these operations? The strong get money and live to fight another day.

[Interview] Toronto’s Michael Beattie, Founder And CEO Of MBM Consulting

YoungUpstarts

Success as an entrepreneur takes a lot more than an idea, a dab of seed money and, as they say, a wing and a prayer. You seemed to be doing quite well in your first job with Lakeview Holdings, advancing to president of operations during your tenure.

Financing risk

Chris Dixon

Startups that raise seed funding face the risk of not being able to raise additional money. If you are a company that just raising seed funding, financing risk should be top of mind. Basically you want to take the main risks that exist at the seed stage and eliminate as many as you can. Experienced seed investors can also advise you on this. Raise enough seed money. How much money will it take to hit those milestones?

Venture Seed vs Angel Seed

Immersive Web

Among the many great discussions, the most critical one in my mind centered on the impact that the source of money can have on an early, seed startup. The discussion covered two main sources of seed funding: Vc and true angel. Isn’t seed money just seed money? Most seed investments, however, are just that — seeds. Not sprouts or full grown plants, just seeds. Look for seed money from angels.

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Funding, dealflow and startup traction from Latvia: October

ArcticStartup

Prize money & Awards. In addition to the status, BuyerDeck also received £25,000 prize money. The startup received €2,000 prize money. Dealflow from Latvia for Q3: 18 startups raising over €5 millionseed money 18 Latvian startups looking for over €5 million seed money.

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Venture Seed vs Angel Seed « Immersive Web

Immersive Web

Immersive Web Home About Venture Seed vs Angel Seed I really enjoyed the Boston Angel Boot Camp on June 1. Among the many great discussions, the most critical one in my mind centered on the impact that the source of money can have on an early, seed startup. The discussion covered two main sources of seed funding: Vc and true angel. Isn’t seed money just seed money? Most seed investments, however, are just that — seeds.

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Dynamic strategy and the end of competitive advantage. Rita McGrath, Business of Software 2014

Business of Software Blog

There’s a lot of money there and the only thing that’s keeping them there is not that their customers are absolutely delighted because they don’t have customers they have hostages. billion dollars in interchange fees and that’s a lot of money! Is sustainable competitive advantage dead?

VC Seed Funding is Dead, Long Live VC Seed Funding!

Both Sides of the Table

A few years ago it became fashionable for large VC’s to do seed funding. With open source software (LAMP stack) and cloud computing infrastructure it just wasn’t that expensive to get your company going and founders just wanted to raise less money.

This Week in VC with @VCMike Hirshland of Polaris Ventures

Both Sides of the Table

One of the most difficult things to do as a first time entrepreneur is to get to know the investors you might be working with if you accept money. So how is Mike able to do this at a time where others have warned against taking seed money from VC funds?

From Nothing To Something. How To Get There.

techcrunch.com

This is the first post in what’s going to be a series of blogs on how to go from nothing – no connections, no team, no money and no knowledge of how the startup industry really works – to operating a growing business. If you want to waste nine months trying to raise VC money for that idea, great. I need money for the servers. No raising money. I’m taking a 52 week course in how to start up, run, operate, and achieve self employment.

If I Only Had A Million Dollars…

Mark Birch

He said he would love to get started…if only he had the money. Even in this era of easy seed money, crowd funding everywhere, and incubators practically throwing money at entrepreneurs, there are still plenty of people complaining about money.

Do the Math

Austin Startup

You’ll want to get cozy with the numbers all over again based on some history and make decisions on operating spend and on financing strategies. You want your valuation to keep marching upward; if you took in some seed money with the promised 10X venture return, you’ll hopefully be able to prove that you are proceeding on that trajectory. You also need to look at your operating history to date and get comfortable that your machine is humming along as planned.

Q&A: How To Deal With The Trough of Sorrow? And tips for bootstrapping companies

Rob Go

Even Mailbox (which just got acquired by DropBox for likely a big number) I’m sure faced a trough of sorry when they shifted resources away from their original product (behind which their raised their seed round) and pursued what could have been yet another email client. Is it possible to take seed money and not go for the Series A, etc, and just earn revenue? If we never want to exit and plan to own and run the company forever, would anyone invest any money at all? .