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As my partner, Startups.com and Fundable founder, Wil Schroter likes to say, “There's not a lot of ‘fun' in funding.”

Raising equity funding for your startup is a long, difficult, and often demoralizing process. However, if you're successful, you walk away with money that will help your startup grow and become everything you hope it could become.

One of the major challenges that founders run across is that raising a round often takes more time than they expected. While a founder might know that your startup is excellent, convincing other people to invest thousands — and potentially millions — of dollars into their company is not a simple task.

“I've always heard that the rule of thumb is three to four months to do a fundraise — or that you sho...

The gender gap that persists in Silicon Valley and throughout startups in general needs no introduction. Fewer opportunities, fewer CEOs, less pay, less respect – to name just a few issues familiar to women. Laundry lists of ails and acknowledgement of the gender gap are common. What you encounter less frequently are solutions in progress, conversations that go beyond paying lip service to the obstacles women face.

Not so in this morning’s Startups Live Coffee Hour with special guest Lisa Wang. Here she walks us through her projects designed to empower women and talks us beyond the initial difficulties of discussing gender, making it easier to effect change for all who genuinely want it and moving us closer to healthier startup ecosystems.

Startups use their elevator pitch to quickly communicate their startup idea and value proposition in one or two sentences.

In our previous idea validation lessons, we focused on the importance of taking your initial idea and defining your problem, particular market, advantages, and customer needs. Now it’s time to refine those learnings into a polished Elevator Pitch and continue our startup idea validation.

The heart of every great Elevator Pitch includes 4 essential components:

ONE Nail The Problem

As we learned, great business ideas start with a well-defined problem and the ability to identify how painful that problem is. Now, we’ll concentrate on how to effectively articulate it in your elevator pitch.

TWO Explain The Solution

You’ve zeroed i...

According to the Small Business Association, veteran-owned businesses make up 9.1 percent of all US businesses — and they all need capital to get and keep them going. But securing financing for a startup or a small business is almost never easy. And it can be even more difficult for veterans, who may have gaps in their financial history due to time on active duty.

Luckily, there are a few options for business loans for veterans. Some are government-funded, while others come from the private sector. Let's take a look first at government-funded small business loans for veterans and then dive into the private sector.

Government-funded business loans for veterans

The Small Business Association (SBA) administers the most well-known small business l...

What is a business grant?

A business grant is a sum of money given to a business in order to help them further their business. They’re usually distributed by governments, corporations, foundations, or trusts. Unlike many other types of business funding, grants don’t have to be paid back and business owners aren’t required to give up equity in exchange for a grant.

However, most small businesses probably won’t qualify for a small business grant, as they’re tied directly to US government agencies that have specific goals. There are some categories of business that are an except, though, including research and development companies, as well as some high tech companies.

State level grants are also tied to the direct economic or social needs and...

Imagine getting married to someone you hardly knew just because you "really needed to get this marriage thing going, and they seem qualified enough at the time." Does that sound like the recipe for a healthy long-term relationship? Probably not. But that's pretty much how most of us select our future spouse for our startups (aka "The Cofounder").

At some point, we inevitably step back and ask "Is this really the right person to be my long-term co-founder or did I just do a shotgun wedding with this weirdo?" Which invariably leads to "How can I tell if this is the 'right' co-Founder, and if it isn't — how do I unwind this thing?

To be fair, these are questions most Founders will end up asking, and if we're not, it doesn't mean our co-founder...

There are five main types of business loans that are relevant for startups: SBA small business loans, business credit lines, short term loans, invoice financing, and merchant cash advances. Let’s take a closer look at each one.

SBA Small Business Loans

A SBA small business loan is a loan that is backed by the Small Business Administration (SBA). Founded in 1953, the SBA is a federal government program that provides support to small business owners in the form of mentorship, workshops, counseling, and small business loans.

While the loans are backed by the SBA, they don’t come directly from the SBA. You’ll have to find a local lender who provides SBA loans in order to access the funding.

Who qualifies?

There are three main types of SBA small...

What are Microloans?

Microloans are small loans that businesses that can't access traditional loans or other finance options. It could be because they don't have any — or great — credit. It could be because their businesses aren't very established yet or they're locked out of the traditional financing options for a variety of reasons. They're usually short-term loans, with low-interest rates.

Microloans started in Bangladesh with economist Muhammad Yunus in the early 1980s. It was primarily to help people in developing countries who didn't have access to traditional small business loans. Access to a microloan program gave them funding to start businesses and raise themselves out of poverty. There are now a huge range of microlending options w...

Continuing in Phase Three of a four-part Funding Series:

Phase One - Structuring a Fundraise

Phase Two - Investor Selection

Phase Three - The Pitch

• Part 1 - Anatomy of a Pitch

• Part 2 - Market Size

• Part 3 - Revenue Model

• Part 4 - Operating Model

• Part 5 - Customer Definition ( ←YOU ARE HERE 😀)

• Part 6 - Customer Acquisition

• Part 7 - Funding

• Part 8 - Key Pitch Assets

• Part 9 - Traction

Phase Four - Investor Outreach

Let’s dive in!

A company in the early growth stages should concentrate its efforts on a particular segment of customers whose needs most closely match that of their best current customers and not a broad universe of prospects for expansion.

Customer segmentation works for companies that started yesterday, and mature companies as well. In the...

Startup culture has gone from glorifying victory to glorifying effort.

"Hustle Porn" has become more and more popular, particularly on social media, where would-be champions of entrepreneurship proclaim their insane personal sacrifices to the Gods of Startups. We're constantly wooed with tales of Founders putting in insane hours, risking it all, and coming away with the spoils of success to show for it.

How much of this is really a celebration of hard work and is how much is just the equivalent of giving ourselves a Participation Award for effort?

"I just put in 100 hours this week!"

Let's start by debunking the myth that working 100 hours in a week is somehow a victory to be lauded — it's not. The intention is that we're SO dedicated to ou...