Has anyone here acquired venture capital/working capital?
 

Aside from partnerships and family investments.

I'm curious on the methods people in ebusiness are using to raise funds. Doesn't need to be adult, just online ventures.

Regards,
-Steen2.

pimpin and killin nigz.

Angel investments.
WG

....

wanring: business thread

Well, if you have successful businesses in the past or business relationships with many people who have been impressed by you in the past...shouldnt be too hard if you have a good idea

You just need a very well thought out biz plan that will impress the crap out of people. Remember, you trying to sell them on the idea..not bore them. Think of it like a really technical commercial for your idea.

How much are you looking for?

Here is the million dollar recipe for "Angel Money".

1. Innovative, risky, high profit potential idea.

2. Simple easy to understand biz plan.

3. Qualified prospect list of about 10 to 20 angel type investors.

4. Experience and knowledge in the industry you're doing.

5. Boundless enthusiasm and passion for your startup.

6. Sell the excitement and thrill of the big win, not the deal itself.


Most entrepreneurs looking for money fuckup #6. Millionaires don't need more money, but they crave excitement and the thrill of a big hit. That's the key magical secret.

...And if all else fails...hit up this guy..

http://www.gfy.com/fucking-around-and-business-discussion/465254-5-000-investment.html

:1orglaugh :1orglaugh :1orglaugh

If you have a good idea, you don't need investors.

LOL, BULLSHIT!! 9 out of 10 so called good ideas bomb. OPM is the only way to go if you want to preserve your wealth.

Your wealth will stay intact a lot longer owning 20%, 30%, 40%, 50% of lots of deals, with minimal outlay of your own money, vs. owning 100% of each deal you do completely self financed.

I've seen more guys blow their entire load because of "GoldenTouchitis". Guys start making big dollars and all of a sudden, think damn I'm a smart mother fucker, I'm a lucky motherfucker, everything I touch now will always turn to gold. Yeh right. Quickest way south is when you catch this syndrome and your ego grows to the size of a watermelon.

:1orglaugh :1orglaugh l

"High-Tech Startup" by Nesheim is a good book to read if you are serious. Nesheim is an ex-VC and he goes into the details of getting funded including the splits of some major deals like Netscape to show how the ownership was cut up initially and by the time they got to IPO. He also explains what a typical VC is looking for in a potential investment.

But getting VC funding can be a two-edged sword. The CEO at one startup I know of said taking money from VC was like making a deal with the devil :1orglaugh

Steen2:


Hit me up at ICQ ASAP



Thanks

It's not bullshit. Everything fails because of poor management and leadership. If you have a good idea and smart enough to use that idea, you don't need $$$ from others. You don't even have to use your own money.

The best way is to start generating revenue from the get go. You then use that money to expand and grow.

The biggest companies in the world use outside capital and financing all the time to expand and grow.

Great posts KRL. :thumbsup

Most businesses fail because of lack of capital.

Thats called organic growth. And its not always the best way, it can limit your growth potential unless you have a really good cash flow.

Venture Capital is for the unconnected. Don't waste your time.

KRL is right: OPM :thumbsup :1orglaugh

That was a great movie. :thumbsup

I have in the past yes, but it was only for $200,000.00

For that particular venture, there was no executive summary or biz plan. I showed my software product to some people on a conference call and 15 minutes into the call they were sold on the idea - they not only knew what they were looking at - but they also knew the value of what they were looking at.

I don't build or develop for anyone in adult anymore.

I've built a new program for the mainstream channel and am currently going through the provisional patent application and putting the finishing touches on the business plan along with 10 pages of spreadsheets of supporting data and though I HATE having to write it, at the level I'm entering in - it's a necessary requirement.

Though the number of eyeballs I've shown this too is limited - without exception - every single person who's viewed what I've put together has gotten the buzz and has helped in one way or another to get me in front of the right eyeballs for the equity commitment of $5 million I am seeking for the company.

Yeah, and look and Ford and GM. They were just given "junk" status.

I never invest in companies that borrow.

IMHO it tends to be cash-flow mismatches that kills a lot of small biz's and start-ups

Steen - you've many friends that do well, why not email one of them a proposal.

:winkwink: :thumbsup

I've tried but they want too much intrest: 16%. They can take a long hard suck on my Ars!!

It's poor management and leadership that kills startups, nothing else.

:1orglaugh :1orglaugh :1orglaugh :1orglaugh :1orglaugh :1orglaugh

Now that's a funny one :)

You're thinking way too small to fully understand what it means to be successful in the real world. It may work for a lousy TGP owner or a local pizza joint owner, but not for real business men. It's a way, but certainly not the best way.

what he said^^

*I work for 20 VC's who have their hands in all kinds of ventures and it's all about OPM and moving the capital around from company to company which is why they all do business together. :2 cents:

Was this a joke? Did you actually just say that entrepreneurs need no $$ to launch a successful venture? Some entrepreneurs think beyond a small project they plan to run from their guest bedroom. Seed money gives you much flexibility in terms of hiring staff, marketing, and hitting the market sooner than (much) later. Smart entrepreneurs know when capital is needed, and lazy ones stay behind. Smart ones get the OPM over one lunch meeting (Ok, maybe two :winkwink:), lazy (or simply clueless) ones end up programming it all by themselves for a year. :1orglaugh

No, it's not a joke.

Then you need to be exposed to the business world more often :winkwink:

No I don't. I run my own independent record label here in dallas and it's very successful.

Angel investors are the easiest to approach and close a deal with (sometimes even more than with family members :winkwink:). Have a good Executive Summary on hand (and try to carry it with you wherever you go, you just never know). Whatever you do, don't try to impress the investor with false information. If you don't have a working prototype, don't say that you do. If you're the only person doing the programming, don't say that you have 5 geniuses coding for you around the clock. Be honest, be enthusiastic (for real!) about your idea/deal/venture/project, and the right investor will come along. :thumbsup

Also be sure to get familiar with the various business/financial aspects of the deal (exit strategy for your investor, etc.). Good luck :thumbsup

And you think every entrepreneur should follow your same exact steps? There are many ways to do business, but immediately ruling out outside financing options regardless of the type of venture is just a horrible business mentality IMHO.

I lost a mainstream offline biz last year as a result of that :/

I really need to bone up on getting investor cash...

and learn how to draft up a more effective business plan...

oi

so you're telling us that you started a record label w/o ANY capital??? :1orglaugh

I'm interested in how u went about this....

id like to get a few books on the subject...there are plenty of good ideas left out there

I don't care what they do.

He even cut the trees himself and later made the paper he used to create the office stationary :thumbsup