Should I be Seeking Funding from an Incubator or Angel Investor?
Monday, 02 May 2016
In the midst of the next startup bust (apparently), entrepreneurs are seemingly struggling to raise capital now more than ever. A very frequently asked question I’m hearing, sounds something along the lines of, “should I just take the terms of the local incubator?” But what troubles me in such questions more, is not the desperation
- Published in Startups
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Why Should Anyone Fund Your Startup?
Tuesday, 12 April 2016
Referred to by a couple local financing executives as “the best seminar they have been to here in Austin,” I recently had the honor of moderating a discussion of venture capital funding, thanks to the support and hard work of Texas State University’s SBDC and Frost Bank. Why so compelling? That’s precisely the question we
- Published in Industry, Insights / Research, Startups
Why Tech Startup Investors Expecting Revenue are Wrong
Monday, 04 April 2016
A far too frequently overheard conversation in the startup community goes something like this: “Apparently neither Instagram nor Snapchat had paying customers while receiving both seed and series A funding?! I couldn’t believe it. Investors, advisors, and incubators these days are constantly trumpeting that a monetization model (or at least an anticipated revenue trajectory) is
- Published in Startups
Startup Validation in 12 Steps (Hint: It’s Not About Sales)
Monday, 17 August 2015
Among the most cited frustrations by entrepreneurs that can’t get funding, is that they have customers and sales, and that they’re being encouraged to get more. And yet… As we explored in a previous post (“Should I be raising money?”), with the utmost deference and respect to investors, the worst advice you might hear from
“Should I be raising funds?”
Friday, 07 August 2015
It’s a question asked so frequently, in a variety of different ways, that it finally occurred that it would be a good discussion to have. Should you be raising money? Of course the cop out is to reason that of course one should; you have revenue, customers, and you’re growing but you just can’t get
- Published in Raising Capital
When Raising Capital, What is a Broker-Dealer Registered with the SEC?
Friday, 19 December 2014
With the advent of crowdfunding and the ongoing changes to how startups might raise capital, prompted by the JOBS Act, entrepreneurs are frequently asking about the role of a broker-dealer. Why? Let’s start from the beginning with an understanding of what exactly is a broker-dealer An individual, company, or organization that trades securities (a catch-all term
- Published in Raising Capital, Startup Ecosystems
How are Startups Getting Funded without Revenue?!?
Thursday, 30 October 2014
Asked the other day, having witnessed the success of WhatsApp, “how are these companies getting funded when they don’t have paying customers?” It’s a good question, but frankly too, one that for many of us, actually doesn’t make sense. Most innovation gets funded without revenue so I’d ask in return, what makes you think you
- Published in Startups