“Success is not the result of spontaneous combustion. You must set yourself on fire.”
~ Reggie Leach
Today we’ll finish with the final 2 of the 5 most common types of funding.
Today’s Sources are as follows:
Angel Investors are individuals like friends and family members; you just don’t know them (yet). At present, there are about 250,000 private angel investors in the United States that fund more than 30,000 small businesses each year.
Most of these angel investors are not members of angel groups. Rather they are business owners, executives and/or other successful individuals that have the means and ability to fund deals that are presented to them and which they find interesting.
Networking is a great way to find these angel investors.
Venture Capitalists (VCs)
VC funding is a suitable option for businesses that are beyond the startup period, as well as those who need a larger amount of capital for expansion and increasing market share. Venture capitalists are usually more involved with business management, and they play a significant role in setting milestones, targets, and giving advice on how to ensure greater success.
Venture capitalists invest in companies and businesses they believe are likely to go public or be sold for a massive profit in the future. Specifically, they want to fund companies that have the ability to be valued at $100 million or more within five years. They also go through an expensive and lengthy process of deciding on the best business to invest their money. Hence, the approval process usually takes several months.
The Funding Pyramid (TM)
I discovered and trademarked The Funding Pyramid (TM) formula a few years ago.
It’s the precise formula I discovered and have used to help entrepreneurs and business owners like you raise billions of dollars.
I lay out precisely how The Funding Pyramid (TM) works, and how to use it in your business today.
Today’s Question: What music company owns the copyright to the song “Happy Birthday?”
Previous Question: What did Ray Kroc do for a living before growing McDonald’s?
* Sell milkshake mixers
* Serve in the military
* Was a lawyer
* Was a farmer
Answer: Ray Kroc sold milkshake mixers before buying into and growing McDonald’s restaurants.
He sold some mixers to the McDonald brothers, who offered a limited menu so they could focus on quality.
He then pitched the idea of taking this idea around the United States to start these restaurants. He eventually owned the rights to the name McDonald’s.
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