Key Point on Startup Funding

Key Point on Startup Funding

1. reasons you may need Money

   • pay core employees, purchase equipment, pay for licenses to use intellectual property, rent office space

2. Angel Investors

   • An affluent individual who provides initial capital for a business start-up.
   • are compensated with: ownership equity and converiblt debt

3. Vneture Capital

   • Financial resources given to early-stage companies
   • Stages of a VC: seed funding, start-up, griwth, second round, expansion, exit

4. Other founding resouces

   • friends and family funding ("fff"): asking friends to borrow/donate money
   • grants or government funding
   • bank loans: taking out a standard business loan to be repaid
   • public equity: Selling stock in the company
   • crowd funding: Asking the public for donations