Showing posts with label raising capital. Show all posts
Showing posts with label raising capital. Show all posts

Notes on Raising Capital

Generate traction and revenue. investors portfolios last on average about 10 years. Don't loose control of the company by giving it away. There is more syndication going on (spreading the risk). Investors invest in a management. Capital efficiency means I am lean, this is key.

Business to Business is a market that gets allot of attention. "Nice to have" is a copycat. Be significant. 


Intellectual Property (I.P.) is a very important asset for your company. 

a Light IP is an app made with other existing tools. 

Women are 12% of all easy state investments.

Disrupt!!

NETWORKING is the #1 way of raising capital. Who do I know?

 Los Angeles wants revenue and content, Silicon Valley wants tech and New York wants eyes.

What investors are looking for?
1. Management Team
2. A unique Idea in an empty space.
3. A breakthrough idea
4. Scaleability, it has to scale.
5. Defensability. Patents, Intellectual Property, Trademarks, Corporate Structure (Corp, LLC) 

How to Pitch Investors?
Prepare with:
10 Slides
20 Minute
30 point type

In reality, expect to get 3-6 minutes. Sound-byte it. Turn a 30 second pitch to a 60 second "tell me more".

Investors care about the deal. What is the valuation? How does the technology work? Why is it unique, and how can I prove it?

Assume my pitch will save their portfolio.

When choosing your investment partner, do your research! 

The Terms

What  are the terms? Whats your term sheet like?

Alternative forms of raising capital?
Strategic partnerships, revenue creating deals. (I'm a huge fan of this)

Take money as late as possible. Ask for enough capital to keep going.

Super angels make bets.

VC's grow their portfolio.