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.
Crowdfunding is a rapidly growing industry. Below, we explore key statistics including the average raise sizes, the impact marketing has on average raise, and the underlying demographics driving crowdfunding.
What may have seemed like a niche way to raise money at first is now a major force in fundraising. Worldwide, companies and individuals ha...
A startup business loan is any type of loan that helps businesses with little to no business history. It's one of many financing options for founders who are looking to either get started or improve their young companies.
Yes, it is possible for startups to get business loans.
However, startups may face more challenges in obtaining financing than established businesses because they often have limited credit history and may not have a track record of profitability.
Startups should carefully research and compare the various financing options available to them and choose the one that best meets their needs and goals.
It's also a good idea for startups to work with a financial a...
Now, the core technology that was once merely the product of science fiction writers’ imaginations is less science fiction than it is, well, actual science.
Fear not. Unlike their fictional counterparts — which inevitably go haywire and become less prone to “protect and serve” than “attack and sever”— the increasingly-prevalent bots of the real world are mainly concerned with using actionable data in the fight against crime.
Welcome to the dawn of the Age of Security Robots, where a new crop of tech companies are (literally) rolling out fleets of artificially-intelligent crime-fighting machinery and jockeying for position to revolutionize the $500 billion security industry.
While there are several promising entrants in...
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 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...
Today we’re announcing the launch of Bizplan– a modern business planning software platform that we think you’re going to love.
We’ve learned a lot in the last few years about how startup Founders do their early planning, or in lots of cases, avoid it altogether. Everyone seemed to want a plan, but the tools that helped them digest the process were just painful.
So we came up with a better way to help startups think through business planning efficiently, and by way of that, put together a platform they can rally behind.
Most founders associate business planning with some long-form academic exercise that feels like a college term paper assignment. We wanted nothing to do with that.
What we wanted, was to ...
Getting an angel investor meeting is one of the high points of being a founder. After all, tracking down one of these illusive investors can be a serious hassle. But don’t worry — we’ve got you covered on how to find angel investors, how to get an angel investor meetings, and what to do once you’re in the room.
Angel investors are typically high net worth individuals who invest very early into the formation of a new startup company, usually in exchange for convertible debt or equity. The role of angel investors serves as a critical bridge between the startup financing needs of a company and their larger capital needs later on.
If you want to [find angel investors](https://www.sta...
If you’re expecting to get the funding you need to take your startup to the next level, you need to get serious about your business pitch. Without the right amount of preparation, people are not likely to throw money at your “amazing” business idea.
Here are some business pitch tips based on my experience as a CEO and entrepreneur. They will help you impress potential investors and find the right fit for your business.
Benjamin Franklin was right. “By failing to prepare we prepare to fail.”
Leave your startup business pitch preparation to the last minute and a “thanks but no thanks” is all but a fait accompli. If you think natural charm and some ‘ad-libbing’ will get you through, please think again.
Onc...
Angel investors are wealthy individuals who invest in startups, usually at the early stages. Sometimes angel investors pool their money with other angel investors, forming an investor pool.
The typical angel investor is someone whose net worth is likely in excess of $1 million or who earns over $200,000 per year. Incidentally, those look a lot like the credentials of an accredited investor.
Realize, though, that the angel investor is playing with their own money — not invested capital — so even though they may be a high net worth individual, they are still looking at money coming out of their personal bank account.
When you’re talking about federal angel investment tax credits,...
When it comes to small business loans, you have two options: private and government loans. While private lenders may be reluctant to take a risk on a new business or startup, government business loans were created specifically to boost small business in the United States.
As a result, you might find that it’s easier to secure a small business loan from the government than it is to secure one from a private lender.
Most government business loans are managed through the Small Business Association (SBA), which partners with lending institutions that actually distribute the money.
Because the loan is backed by the government — meaning if you default, the government pays of the balance — banks and credit unions are more likely to take a risk ...
Funding doesn't make a lot of sense to first time Founders. In our minds, we think, "Hey, investors want to make money, so if my startup can make money, who cares how big it gets?"
Unfortunately, that thinking overlooks one big fact: that for every one investor check out there, there are hundreds of startups competing for it.
In order to understand how investors look at one deal versus another, we first have to understand how investors look at deals in the first place.
There's no absolute rule here, but investor behavior generally follows a consistent trend. Most "professional" investors (people who invest consistently) gravitate toward investments that can yield an exponential return, such as an IPO.
The think...