This is part of my Series on Venture Capital.
‘Raising Capital’ for one’s start-up is perhaps one of
the most talked-about and important aspects of early-stage entrepreneurship
there is. And despite the amount of
attention and discussion the topic receives, I also think it is perhaps the
most misunderstood of all.
At some point, all start-ups, (whether they be university
spin-offs, services/consulting companies and/or technology companies), that
aspire to some conventional measure of growth and success will require
operating capital of some kind. As
someone who over the past sixteen years has raised millions of dollars in capital
both for my own start-ups and for several dozen university spin-offs, I’ve
definitely developed a feel for what I believe works and for what doesn’t work.
In this series we explore the challenges, myths and rules
of thumb that apply to this process and of course welcome your input.