The Valuation canvas is a nice easy way for investors and entrepreneurs to value a startup using four well known valuation tools. It empowers investors to check the valuation of a startup and avoid overpaying and hurting their possible investment returns. It also brings some simple rigor to the often dark arts of startup investing and valuations. You can find this resource HERE.
Startups, especially those involved in FinTech, need funding. Depending on the individual play, that need for funding can be significant.
So where do you find it?
Behind anyone who has accomplished something great, you will most often find another someone who was instrumental in helping them to achieve those goals. It could be an Olympic champion, a great leader or a successful business owner. The bottom line is that we don't get to where we are going without a little help along the way.
You have a good business - it's new but it is up and running and doing well. You are at a point where you need to increase your production capabilities and your marketing budget to become a more profitable company and a force in your industry. The goal here is that you need to raise capital to accomplish both these goals. How do you find the needed capital?
Your startup’s future hinges upon your ability to secure two key ingredients for success: money and great people. Angel investors are among the best resources for these, however, angel investors vary widely in their expertise and abilities. Below is a look at the top qualities to seek in an angel and some key traits to avoid as you meet potential investors.
Being an investor, advisor and founder of several companies I can say that having smart, motivated, connected and culturally aligned investors is such an incredible benefit to a startup.
The right investors can make all the difference. The doors they can open and the credibility they can give founders cannot be understated. I’ve seen startups that have no track record or traction meet and negotiate huge deals with some of the biggest companies in the world because of the assistance of their advisory board.
Some suggestions are more unusual and creative like getting your potential clients to pay upfront, business plan competitions (and the like) and perhaps even rewards based crowdfunding platforms. Others like government grants are fantastic if available and not to difficult to source, as they don’t dilute you.