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Your typical angel investor is going to have been a successful businessperson or entrepreneur that is looking to put some of their earnings to work in an investment they really feel passionate about.

Since angel investors were often successful in their own careers, having access to their experience and rolodex is sometimes even more valuable than the capital they invest.

Make no mistake, the business of an angel investor is to make money. But there is a very personal attraction to each deal that makes working with an angel investor different than going to a nameless, faceless bank.

High Net Worth Individuals

The typical angel investor is someone who’s net worth is likely in excess of $1 million or who earns over $200,000 per year. Incidenta...

Throughout our schooling and mentoring, we entrepreneurs are constantly urged to be a jack-of-all-trades and master of none. But is this advice really viable? Does it truly apply to us? In my opinion, the answer to both questions is “yes.”

The best entrepreneurs are steadfast generalists — especially in today’s world, where knowing a little about a lot is increasingly important. They are persistently curious and have a deep, abiding interest in learning. They see opportunities where others see challenges, and they’re often natural leaders with strong problem-solving skills.

The Specialist’s Dilemma

A society of specialists is rich in data and poor in meaning. How valuable is all that knowledge without any context? As strategic thinkers, gen...

While it would be great to launch your new company with a mountain of freshly injected cash, that’s rarely how companies get started. Sure, you read about companies in popular magazines getting millions to launch some newfangled idea, but you rarely read about what it took to get there.

The reality is that most companies go through a basic evolution in both the state of the company and the availability of capital. As the company transforms from an idea to an operational business, the check sizes and deal terms become much more attractive.

In the early stages where you probably are now, the number of options available to you may be a little more limited. Here are the four typical stages of a startup company and the capital that tends to be a...

Entrepreneurs have quite a few options available when raising capital that generally fall into three categories — bootstrapping, debt and equity.

Investors want to find the right fit. They want the right location, market size, and traction, among other things.

Funding your business isn’t as easy as saying, “I want to speak to investors who will give me a big check for my great idea!”

Even the best ideas often require a long period of proving themselves before any investor is willing to support them with a check. Along the way, there are several forms of capital that entrepreneurs use to address their needs.

How Most Businesses Get Funded

The most common way companies get funded is to start with their own capital, known as bootstrapping. The...

They came, they crowdfunded, they conquered, and now it’s time to get to know them better. While the winners of the inaugural Crowd2Shelf contest come from different parts of the country and from different industries, they have one thing in common: they’ve created amazing products that are helping people do more.

We sat down with the winners and got some background into how they’ve grown into the incredible startup product companies they are today.

EVA
Wilmington, DE

Designed by LEDified, EVA™ is the world’s friendliest recessed light. They’ve combined the most efficient LED technology with an everyday practical element of a home: the remote control.

They’ve already pre-sold over 50,000 EVA™ units. Before EVA, LEDified’s founding team devel...

Coming up with a great business idea isn’t a problem. The problem is in actualizing that idea and turning it into a profitable business. The next thing that follows is the million-dollar question: “Where do I get capital to turn my idea into a profitable business?” Unless you have ready cash laying in the bank or a wealthy relative ready to come to your rescue, raising capital to start or grow your business isn’t the easiest thing to do. Resourceful entrepreneurs will always find ways of bootstrapping their ventures. However, depending on the nature of your business, there is a limit to which you can do that. It reaches a time when you need hard cash to move forward. In that regard, you need to find ways of raising capital.

The source of yo...

Venture capital funding is both the most commonly referenced and yet commonly misunderstood form of investor capital available.

Unlike banks or more traditional investment sources, venture capital funding is all about big risks and big rewards.

Simply put, venture capital funding involves a venture capital firm investing a large sum of money (typically starting at $2 million or more) in exchange for an equity stake in your company.

Venture Capital Funding Risks and Rewards

Unlike banks or more traditional investment sources, venture capital funding is all about big risks and big rewards.

Venture capital firms specifically look for companies that offer an exceptionally large growth opportunity, which you can think of as the type of company t...

The following post is an excerpt is from Chapter 10 of the book Startup Seed Funding for the Rest of Us: How to Raise $1 Million for Your Startup – Even Outside of Silicon Valley, by Mike Belsito. This chapter focuses on the steps that people can take to build up their network, even if they don’t already have a strong set of connections within the venture community. Using tools available to everybody along with a little bit of hustle, any entrepreneur can build a strong network.

Some people quickly dismiss the idea of raising capital for their startup because of a saying that they’ve heard time and time again: “It’s all about who you know.” They make excuses such as:

“I’m not that well connected, I don’t even know any investors.”

“I don’t ...

“Did you hear about XYZ.com? I just read about them yesterday. They raised a $5 million round from a top tier venture firm at a crazy valuation. It’s like they popped up overnight!”

Ah, the familiar refrain of “instant success.” The press loves you, investors love you, everyone wants to high five you and join your mission. You’re on your way to becoming the next Google, right?

Not exactly.

Well, unless in that same minuscule time period you’ve managed to build a profitable business with a sustainable customer base and cornered your market, you haven’t proven anything.

Success doesn’t come instantly, and it sure as heck doesn’t come from big announcements. It comes from a long term dedication toward building something real.

Launching Isn’t S...