Family and Friends - The 411 On Startups (tm)

5 Lessons For Raising Money From Family And Friends

Oct

2011

It’s really easy to find information about raising money from angel investors or VCs, but many people don’t think about another important way to fund your startup: raising money from family and friends. I’ve raised money from friends and family twice and want to share what I’ve learned so that you can raise money from ...

Startup Financing Options: Friends and Family

Aug

2011

Many entrepreneurs turn to friends and family for their first funding needs. In fact, it is common for non-tech startups to raise all the capital they need from friends and family. I don’t know for sure, but I would suspect that friends and family make up the largest source of funding for entrepreneurs and startups. ...

Startup Funding – Startup Valuation at the Friends and Family Round | Startup Financing

Sep

2008

For most startups, the Friends and Family financing is essential to get the company started. Unfortunately, most people who invest in Friends and Family financings probably shouldn’t. Most just don’t have the expertise to know if the structure, terms or valuation are reasonable. One of the most common ways Friends and Family financings are not ...

Startup Funding – The Friends and Family Round | Startup Financing

Sep

2008

Friends and Family financings are always the easiest to complete – often taking less than two months from start to finish. Friends and Family rounds usually raise $25,000 to $150,000 in total – the amount depends a lot on who your friends and family are. The only problem is that most people who invest in ...

Startup Funding — Friends and Family Round — Legal Requirements | Startup Financing

Sep

2008

At the early startup phase, when the money from friends and family is being invested, entrepreneurs usually can’t afford good lawyers and may not have found experienced mentors. As a result, many entrepreneurs miss some of the legal requirements of the ‘Friends and Family’ financing.

Entrepreneur, business – Getting Financing From Friends and Family

Sep

2008

Q: Is it wise to seek financing from family members and friends? And how does this strategy fit in with my overall financing plan for my company as I start and grow my business? A: The basic fact remains: Most emerging small businesses are launched with personal savings and other assets provided by the founding ...

How to Fund a Startup

Sep

2008

Venture funding works like gears. A typical startup goes through several rounds of funding, and at each round you want to take just enough money to reach the speed where you can shift into the next gear. Few startups get it quite right. Many are underfunded. A few are overfunded, which is like trying to ...