Hello, On Income Statement, are Owner Distributions included in Expenses? or come out of Net Income?

Hello, What would be the easiest way to reflect a equity crowdfunding round on here? I'm looking at Revenue Share 5-10% of revenue to 3x investment. Should that be listed under expense? debt? investment?

What Is Startup Funding?

Startup funding — or startup capital — is the money needed to launch a new business. It can come from a variety of sources and can be used for any purpose that helps the startup go from idea to actual business.

What are the top sources of startup funding?

While we often hear about venture capitalists and angel investors when it comes to startup funding options, it turns out that’s just one of the six top sources of startup capital. Of the $531 billion raised in startup capital each year, $185.5 billion is from personal savings and credit, $60 billion is from friends and family, $22 billion is from venture capitalists, $20 billion is from angel investors, $14 billion is from banks, and $5.1 billion is from crowdfunding....

The success of your campaign depends on the number of people you can reach, engage and motivate during your campaign and the weeks leading up to it.

This is a tall order for an already busy entrepreneur. Many campaigners are now realizing the most effective way to run a crowdfunding campaign is by utilizing a Virtual Assistant—Like the ones at Zirtual.

Tim Ferris recently said: “The #1 resource we found for outsourcing is Zirtual… Do not run a Kickstarter campaign (or your life) without…”

By delegating crowdfunding work to your VA, you can focus on what’s important.

Your VA works behind the scenes and allows you, your product, and your launch to shine.

So, how exactly do you use a virtual assistant to boost your crowdfunding campaign effort...

As a startup founder, one of the most popular questions you’ll get is “Who are your investors?” The industry operates under the assumption that most startups are working with venture capitalists and angel investors, and for good reason. VCs and angels not only provide the capital to get your company off the ground, but the advice they can give and introductions they can make are often as valuable, if not more, than the money.

But, for young companies just taking off, getting through the doors of VCs and angels can be tough. Not to mention, no founder is ever keen on the idea of giving away a part of their company.

When you’re struggling to find VC funding, or want to maintain complete ownership, people will often recommend you try crowdfund...

It’s hard to think of an innovation that has had a more transformative impact on the business landscape than the rise of crowdfunding.

Once upon a time, the only people who could bring new products to market were the ones who already had the capital and connections to make it happen. Now, thanks to crowdfunding, anyone with an idea and an Internet connection can mount the next big crowdfunding campaign – and the next must-have product can come from anywhere.

Crowdfunding is a great way to raise the funds you need to make your vision a reality. It can also be an awesome way to test a pricing strategy or validate demand for your product.

But crowdfunding campaigns aren’t (just) a fast track to capital or product validation. A successful crow...

Just a couple of weeks ago, I closed my first ever investment in a private Silicon Valley startup. I didn’t go through the standard procedures though: while I did conduct my due diligence, I did not get pitched face-to-face in a nice conference room, negotiate deal terms, or seal the deal with a firm handshake.

Instead, like many other educated folks who are excited about startups but don’t quite have the wealth to be accredited investors, I invested through a crowdfunding campaign.

There’s a storm of hype building around this new equity crowdfunding model, which allows middle and even working-class people to invest in a startup by the tens or even hundreds of thousands, without many of the onerous regulatory and accounting issues that so ...

When beginning a crowdfunding campaign, it’s important to evaluate your network and establish exactly who will make up your base of support. The success of your crowdfunding campaign will largely rest on how effectively you communicate your launch within your various networks. Once you’ve identified a group of potential backers – it’s also important to structure your rewards tiers in the most compelling way possible. Take into account what is most interesting to your group of potential backers and structure your rewards tiers in the most compelling way possible.

Your network can be divided into four main groups: friends, family, customers, professional contacts, and audience.

Friends

Your friends include those you see on a regular basis.You...

Crowdfunding at a glance

Crowdfunding is a method of raising capital through the collective effort of friends, family, customers, and individual investors.

This approach taps into the collective efforts of a large pool of individuals — primarily online via social media and crowdfunding platforms — and leverages their networks for greater reach and exposure.

How is crowdfunding different from other types of finance?

Crowdfunding is essentially the opposite of the mainstream approach to business finance. Traditionally, if a person want to raise capital to start a business or launch a new product, they would need to pack up their business plan, market research, and prototypes, and then shop their idea around to a limited pool or wealthy indiv...

Startups and venture capitalists are so closely linked in the tech world that it can be hard to think about one without the other.

We certainly wouldn't have our tech giants, like Facebook or Twitter or basically any other startup-gone-big you can think of without VCs. But, finding and getting venture capital for your startup can be daunting. Where do you start? How do you start?

Don't fret — we've got you. Keep reading for more information on how to get venture capital funds for your startup.

Before we dive in, let's make sure we understand a few terms:

VC Funding

VC funding is the process in which a company or individual invests money into a business in exchange for equity. This type of investment is most commonly used by startups and small b...

Crowdfunding is a method of raising capital through the collective effort of friends, family, customers, and individual investors.

This approach taps into the collective efforts of a large pool of individuals — primarily online via social media and crowdfunding platforms — and leverages their networks for greater reach and exposure.

Sounds great, right?

But because this method is relatively new, many people don’t understand exactly how crowdfunding works.

Simply stated, crowdfunding works by presenting your idea to people inside and outside of your network and allowing them to contribute toward your fundraising goals online.

Who is the "Crowd" Anyway?

The crowd is essentially your personal network, potential customers, and — in the case ...