Question by Anthony M: Will I own money to a venture capital firm?
I’m not too sure of how VC really works. Let’s say I am a startup company and we get founded by VC. They invest in the company and get a share of it, I pay some annual fees, and if everything rolls alright we get to split the money in the end after an acquisition or IPO.
But what happens if the product fails? Will I own any invested money to the VC firm? How does it work?
Best answer:
Answer by gazaI’d find an attorney for advice. VC’s can be very complicated and you could end up owing a lot a money to them. The agreement should be done by an attorney. Check him
out first.
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Question by Josh K: Advice on Venture Capital or Prvate Equity Investors?
What advice can anyone give on getting a startup company funded. i have a amazeing idea (though it comes with alot of cost) i have been running round and round with variuse capital firms in the past six months and they all are crazy in my option the ones that want to talk to you want a 25 thousand dollar retainer and the ones that dont want it dont ever reply
Best answer:
Answer by Ron BerueYou NEED a written business plan!
Lenders want to see something more than JUST SOMEONE ELSE “darkening the doorway, asking for money”.
You’ll probably have to go to a “hard money lender”. The interest rates are very high. Those folks have absolutely no mercy or… Continue reading
Question by chesswizard: what percent of startups raise angel funding before venture capital?
Best answer:
Answer by cactusgeneProbably less than 10% of all new start-ups, because angel investors use the same or very similar criteria as venture capitalists, they simply lend money on a smaller scale and earlier in the game, which of course is riskier.
What do you think? Answer below!… Continue reading
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