Money

Raising it, protecting it, spending it wisely, and sharing it with your employees and investors.

Why Starting a Company is Like Falling off a Cliff

Warning Unprotected Edge
Does the call of entrepreneurship make your current job seem boring? Are you looking for adventure? Do you seek IPO riches? Are you looking for an escape? Don’t be too quick to make the leap, warns Robert P. Strauss, professor of economics and public policy at Carnegie Mellon University. He says today’s economy isn’t friendly to typical small businesses and the employment situation is worse. “Starting a business is a young person’s game,” Strauss believes. Mid-career workers who quit their… continue…

6 Steps to Successful Crowdfunding

Posted In Money, Startups
Crowdfunding
Entrepreneurs thinking about raising money through crowdfunding should think carefully about what their business needs not just financially, but in terms of expertise, and then consider whether this type of fundraising will provide it. On top of that, says Jeff Sohl, director of the Center for Venture Research at the University of New Hampshire, they should think about how crowdfunding could affect subsequent investment rounds, since some angel groups will walk away from a business whose first round was obtained… continue…

3 Things to Remember When Selling Your Tech Company

Posted In Money, Startups
Sold Sign
You might imagine that every tech entrepreneur is just waiting for the moment when they can cash out of their company. But if you’re selling – rather than going for the vaunted IPO – doing the deal can be a complicated process, not to mention an emotional journey. For starters, there’s setting a fair price for the venture. And, if you’ve spent years building the technology behind the company, as well as handling the nuts and bolts of running the… continue…

5 Things to Know About Crowdfunding

Posted In Money, Startups
Concert Crowd
Recent changes in investor regulations by the Securities and Exchange Commission have created a buzz among startups by making fundraising easier. The new rules mean investors can pitch in as little as $1,000 as part of a larger funding round. A system called syndicate funding, which allows professional angel investors and crowd investors to get into a deal together, has been growing in Europe, according to Forbes. However, since angel and venture firms use the term “syndicate funding” to indicate… continue…

Tech Startups Attract Non-Tech Company Buyers

Posted In Money, Startups
Sale-Thumbnail
Stepping outside the comfort zone is a mantra that non-tech companies are increasingly adopting, as they search for new ways to expand their operations or beat back the competition. Just ask corporate titans in the health, retail, financial services and agriculture industries that are stepping up their buyout activity of tech startups and going head-to-head with well-known IT companies like Google, Facebook and Yahoo, TechCrunch says. Health insurer UnitedHealth Group, for example, acquired health data analytics company Humedica in January.… continue…