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Showing posts with the label Venture Capital

A Babysitter for Startups

With hundreds of startups mushrooming every day and a million entrepreneurs chasing their dreams it is time they found a Babysitter. Startups are like small babies and need a watchful and experienced eye to make sure they are not suffering from fatigue and are well cared for, their business model has to be doable and they need enough funds to grow and the team needs to be kept intact as they mature into an enterprise. Startups investors namely the Angel investors and VC's may want to appoint babysitters to make sure that their investments in the startup are progressing in the right direction and the startup team is on track. There is no purpose for investors stepping in late in the investment cycle and sacking the CEO and taking it to press since this will not bring back the losses and rather it paints the investors ability to manage funds in poor light. The ideal babysitter for startups is someone who has significant startup experience; they are the beacon for startup...

Founders' must Let Go !

Founders must Let Go! Many founders are so attached with their company that they are unable to scale of grow their company fast enough to realize value and take it to greater levels.  The challenge for the Founders is to grow the company quickly and then bring in professional management and list the company so that the risks are distributed among shareholders plus the company can raise more capital and the founders can de-risk their investment in their company.  But most times company founders treat their company as the extension of their personality and like a protective parent do not let go and allow it to grow and mature. There are so enamored by their success that they suffer from myopia. Over the last 20 years I have seen companies similar in aggression and business grow, but I have found companies where founders were willing to take it to a wider investor base and also bring on board more passionate professionals succeed where as companies where the owners have h...

Goodbye VC & Angel Investors! Welcome Bootstrapping!

Traditionally start-up Business has always started by fire in the belly by the founders and money from an Angel followed by a VC (venture capital) ;  the cloud is changing this paradigm. The cloud allows start-ups to validate their business potential and also run a business pilot by financial leveraging on a simple credit card. Make a little, sell a little, take small steps.  3M Corporation Creed   The initial cost of  start-ups are going South as the Cloud offers a medium for building any business quickly, economically and reliably. Once the revenue model is validated the business can quickly ramp up with ease. Secondly large sales teams are passe,what you need is focused sales team who can leverage on the social networks offered in the cloud, voice communication offered on the cloud, video conferencing offered on the cloud plus not to forget all the software solutions needed by a business for collaboration, ex...