note: now a lot of startups, get an angel round and round A we can not let the world know, even the very people who, pleased with oneself. If you still remember an article in an interview with Yu Minhong, you must remember that he had said that investors are not stupid, their money is not so good. If you believe the words of investors, however, you can take a look at these 9 entrepreneurial success of their own financing experience, lessons, perhaps for the business or financing you help. The text reproduced from the ReadWrite, compiled by the TECH2IPO/ original flowers.
for many startups, several rounds of venture capital financing is essential to the development of the company. It can have a lot of money as a guarantee, can quickly improve the company’s development speed, faster to reach the milestone of the development plan. But get wind, and can not guarantee that you immediately go to the pinnacle of career, even for many companies, financing is not a reasonable option.
in order to better understand the pros and cons of financing, I am from YEC found nine very successful entrepreneurs share nine trap financing when need to pay attention to everyone, and teach everyone how to completely avoid these risks.
1 in the negotiations with the wind table, you are probably too fast will give each other a lot of chips.
became a venture capital company can obtain the support of startups is certainly admirable things, to get more attention, it is because of this, many entrepreneurs are doing what they can to, want to make a quick pull to financing on a little faster. However, this is not necessarily beneficial to entrepreneurs. The more you have the ability to live their own Hold impulse, the more patient to give yourself time to develop, the more late to get financing, the final result is more favorable to you. Before you rely on self financing market performance will continue to enhance the valuation of the company, to the time you really need money, there is no need to sell so many shares to venture capital. Remember this whenever you want: VCs have only one purpose: to ensure that their investments can generate huge profits, and as a form of standard.
2 is difficult to maintain the company’s culture and recruitment quality
if you have a little tight, then you must be in the recruitment of strict checks. An incorrect recruitment will bring unnecessary pain. On the contrary, if after a new round of financing, the urgent need to grow the pressure will let you have to reduce the recruitment threshold, those who you might be rebuffed recruiters now in your eyes become acceptable talent. The final result is a large influx of foreign workers, because the company can not be a good mix of newcomers, and finally these people will be difficult to start up a new company culture to be completely messed up.
in order to avoid this risk, please