RaiseCapital Blog
by RaiseCapital.com | Posted on June 12, 2008
Presidential candidate John McCain criticizes the government’s neglect of small business:
http://www.bloomberg.com/apps/news?pid=20601087&sid=aTYXQYPP.Euk&refer=home
Idaho man leaves the corporate world to start his own business:
http://www.idahostatesman.com/103/story/405982.html
Small business owners express optimism despite economic downturn:
http://www.marketwire.com/mw/release.do?id=866461
Article in the Chicago Tribune about having your teenager work at your small business:
http://www.chicagotribune.com/business/chi-mon-smalltalk-teenage-hires-jun09,0,236092.story
Article discussing “free money from the government” myths that are perpetuated by late night infomercials and scams:
http://www.times-standard.com/business/ci_9520640
Tips for dealing with angel investors from Klaus Heymann founder of the classical music label Naxos:
http://www.cnn.com/2008/BUSINESS/06/09/heymann.answer/
More on Angel Investors:
http://upandrunning.entrepreneur.com/2008/05/23/all-about-angel-investors/
With such a tough economy, I am surprised so many people are asking for such high start up funds. It makes me question how many people are legit on here, and not here to just rip off private investors. I'm an at home mom with something to work hard for -- my family! I will do whatever it takes to succeed for them. I am looking to start a home-based and on-location children's photography business. As a social mom, I already have tons of customers waiting! My business has a very low start up cost of only $5,000. I want to do everything digitally so that moms can have edited pictures of their kids the same day! Also, a unique feature of my business is shared rights to the photos so that they can have the photos printed themselves wherever they choose. If you are interested in talking, please email me at sugarsnapphoto@gmail.com Thank you for your time and interest.
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Certainly anyone reading here is aware of the many funding inquiries that an early stage company will receive when posting on funding sites. Raise Capital has the highest level of integrity and yet still those who look to feed off the desires of entrepreneurs reaching out for capital, are rampant throughout this industry here and abroad. Only through too many bad experiences do I now feel somewhat savvy in this area. What are the real truths about this process? 1. You do need some money to get money. 2. Angels want application fees 3. Presenting can cost to get to the event and then you are pitching amongst 30-50 other companies looking to that group for capital. 4. When they show initial interest, do not assume they are willing to invest until the term sheet is in your hands. 5. Those who have a great "ROLODEX" will still need up front cash to represent you and there is no assurance that you are getting funded. 6. If they say "guaranteed", run in the other direction and don't give any funds. 7. If there email address is yahoo.uk, run in the other direction and don't send any funds. So, with this advice, don't give up, the good ones are out there somewhere. Don't wait until you even have proof of concept to look for funding - even with product on the shelf, they will still want the next step; sales, so you really want to start early!