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 ownership team. The entrepreneur believes very strongly in the innovative idea, has a deep and abiding passion for accomplishing that objective, and embodies the vision for how this product or service will impact or change a market. These create significant incentives to invest personal resources to back the business that will execute the mission.