Raising Money for a StartUp Company

Jason Naz­ar, founder of Doc­Stoc, digs up an old doc­u­ment on Rais­ing Money for a Star­tUp Com­pany

Good inform­a­tion with­in on the ‘fund­ing life­cycle’, boot­strap­ping, angel investors vs. ven­ture cap­it­al, and valu­ation meth­ods, amongst oth­ers.

Entre­pren­eurs face a great deal of chal­lenges in build­ing a suc­cess­ful venture.  They have to identi­fy a good oppor­tun­ity, in a thriv­ing industry, organ­ize a com­pet­ent man­age­ment team, out pace the com­pet­i­tion, and build a product and/or provide a ser­vice that is worth­while to others.  How­ever, in spite of all these obstacles, rais­ing money to seed or grow a com­pany is often the largest chal­lenge of all.  The fol­low­ing paper will dis­cuss the busi­ness and leg­al pro­cess of rais­ing cap­it­al.