8 Websites People Need to Stop Building
If you run a website for startup financing you see a lot of startups over the course of a week. Every last one is convinced that it is doing something unique or that at the very least it is only the second company in the space. Meanwhile, it's the third company with the same basic idea that I have spoken to just that week.
This is why I got such a kick out of this:
That made me laugh! Thank you.
Posted by: Scott B | May 21, 2010 at 10:51 AM
I do love a web site described as "startup financing" that includes the statement "All investors, from angels to venture capitalists, want to back a sure thing or the next best thing to it. This means that a startup needs to show that it has bona fide sales first. Only then will investors pay attention."
Why give up substantial amounts of equity if you already put in the time and money to fully develop a concept, take it to market and have sales? If you're a "sure thing," with sales and PO's in hand, I'm pretty sure a bank will talk with you and demand far less from you.
If angels and venture capitalists only want to back a "sure thing," they should invest in T-bills.
Posted by: Jim R | May 22, 2010 at 05:51 AM
Sounds like you don't have much experience in capital raising, Jim. You may not like it but that's the way it is. Go try raising money and report back to us.
Posted by: Scott B | May 23, 2010 at 12:37 AM