“The best way to predict the future is to invent it.”
As you may recall, this week I will be giving you the 10 commandments for raising money.
RULE #3: You must understand the 3 types and 41 sources of capital. The number one mistake entrepreneurs make in raising money is that they go after the wrong money source and thus fail.
For example, venture capital is only applicable if you are a technology company, already have proof of concept, and have the ability to grow and sell your company for $50-$100 million within 3-5 years. If you don’t fit these criteria, you will fail to raise it. Virtually all other sources have similar criteria. You must understand these criteria and choose the right funding sources.
Here are the 3 types of capital:
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: Who currently holds the top spot in the Forbes 400 Richest People in America?
Previous Question: What does the acronym EBITDA stand for?
Previous Answer: Earnings before the deduction of Interest, Tax, Depreciation and Amortization expenses.
It is a financial indicator used widely as a measure of efficiency and profitability.
It also allows a more direct, pure earning comparison from one company to another since interest, taxes, and depreciation and amortization expenses can vary widely and may not reflect the current operating profits of a business.
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