What are the ways a venture capital firm will exit an investment?
A venture capital firm enters a relationship with a company with the expectation that a significant return of investment will result when the firm exits the investment. The firm plans for that exit to take place within a certain amount of time, usually from three to six years, depending on the development stage of the company in which it is investing. Read More »
I’m not in the technology field. Do other types of businesses qualify for venture capital?
Venture capitalists are looking for significant returns on their investment. A company needs to be able to demonstrate significant growth potential in a large market to be attractive to a venture capitalist. This type of growth has most recently come from significant innovations in technology. Industries such as biotechnology and health care typically attract venture investments for the same reason. Read More »
Finding the Best Venture Capitalist to Approach for Your Business
Before approaching a venture capital firm, you should have a clear understanding of what you want to achieve. You are obviously looking for money to help expand and grow your business, but what other resources does your business need to take the next step? Do you need practical guidance from seasoned executives that have a deep understanding of your company’s industry? Do you need help networking so that you can enter into business development or partnership arrangements with other companies? Do you need help recruiting people to complete your management team? Read More »
What Makes an Angel Invest?
I’m targeting angel investors for my company’s first round of funding. Are there certain things about a start-up company that makes an angel want to invest in it? Read More »
Should I Seek Out Angel Investors?
Does it make sense to get angels to invest in my business? I don’t plan to do an IPO or selling. So how do I provide for liquidity or return for the angels without these mechanisms? Read More »
How Do I Contact Angel Investors?
I’ve written my business plan. Now I’d like to use it to get funded by angel investors. How do I get my business plan in front of them? Read More »
Should You Help Finance the Purchase of Your Business?
Seller financing is an increasingly popular phenomenon. Offering to help finance the purchase of your business can make your business much more attractive to potential buyers. You will save them the hassle of obtaining financing on their own, plus you will interest buyers who may not be able to get financing through traditional channels. Read More »
Can Your Lawyer Handle Venture Capital Financing?
To complete a venture capital financing deal, you need a lawyer who knows the ins and outs of venture capital financing. This is no time for an inexperienced lawyer to learn something new! An experienced attorney knows what terms are standard and what terms the venture capitalist is willing to negotiate. Read More »
The SBA Web Site
The SBA Web Site (www.sba.gov) is an important resource for small businesses. Here is some basic information about how to navigate it. Read More »
Should I Use a Local or National Bank for My Business?
When considering your business banking options, you may be confronted with a choice between a local and a national bank. Both can provide specialized services, but in most cases, only one will be advantageous to your business — which one that is will depend on your own specific needs. Read More »
