Category : funding

How to select the right VC for your company
The search for the right partner During the fundraising process, the first thing on an entrepreneur’s mind is making sure that one gets the best deal possible, ideally obtaining a high valuation and sufficient capital for growth. However, is that all there is? The relationship with a VC should be a true partnership, one that spans 5 to 7 years. Hence, it is important that the VC provides ...
The VC method for valuation of an early stage company
Valuation of early stage companies It can be very challenging to put a dollar value on early stage companies, because there are many qualitative factors that play a role in valuation. The earlier the stage, the more variability these factors can have. However, the entrepreneur must always know how to quantify this as best as possible.  What are the factors? Many of these factors are qual...
Basics of venture capital
What is venture capital? Entrepreneurs are the lifeblood of fledgling companies. But when the company needs to scale, and scale quickly, significant financing can be required, often beyond what any one individual would be willing to risk. Growth capital at the very early stages of high risk, high growth-potential companies, is frequently provided by venture capital (VC), a type of private finan...
Startup Science: 10 tips for Friends and Family Funding
  Be considerate. Only take money from people who can afford to lose it. Only take liquid assets. Don’t have grandma take out a second mortgage on her house to help fund your startup.  Be fair. Don’t cheat your friends and family investors by over-valuing your startup. Be professional. Treat this like any other funding round. Know exactly how much money you need to move ...
Startup Science: 10 Startup Funding Sources
Self funding. Unfortunately the first round of funding must often come from the entrepreneurs. Unless you have a strong track record of founding successful startups, you will need to develop your product or concept before someone else is willing to invest in it.  Friends and family. It’s a natural response to ask your friends and family for help but it is important to treat this li...
What is the difference between Angel and VC investors?
Angel investors are individual investors or groups of investors who are investing their own money. Venture capitalists (VCs) are companies that invest money on behalf of other people. VCs typically raise one or more funds containing money from investors, pension plans and other sources and then use each fund to make a range of different investments.  Both Angels and VCs look to diversify t...
.
It takes less than a minute