Category: Venture Capital

We provide a free venture capital guide, learn the art and science of obtaining it for your business. Ever thought about seeking Venture Capital or Private investors? Wonder what it took for those companies who received millions? What secrets did they know that you don’t?   YOU WILL LEARN: How to test your qualifications for venture capital. Exactly where to begin your venture capital quest. Mistakes that will lead to the death of your deal. The difference [...]

Search for Equity investments Sources and Get a Free Matched List An equity investment is defined as the purchasing of one or more shares in the ownerships of a business by an investor. These investors are then entitled to shares of the company’s assets in the case of liquidation. These shares of stock may be bought and sold among stockholders. Equity investments are for companies with: More than $25 million in gross revenue potential Large National or International market potential Management [...]

Management buy out: Existing company managers acquire a large part of ownership. Management buy out solutions involve working to structure the buyout of the corporation, subsidiary, division, or product line from start to finish. During this process if a company is already public than it would become a private company once the management took over ownership. Most of the time though during this phase a company is privately held. The concerns that go along with a management buy out is that the management [...]

Second round funding is allowing you to continually grow your business. Second round funding is working capital for expansions of an already established business that is producing and shipping goods and services. It is for companies that are constantly increasing their accounts receivables and growing their inventory. These funds will more often than not come from a private or angel investor or a venture capitalist. Often times second round funding from the investor will be enough to help bolster [...]

First round funding or "venture capital" typically follows seed and early stage capital that was used to build the business’ full-time management team, develop the business’ first saleable product, and demonstrate that the business is very likely to be profitable. Before approaching funding sources the following should be completed: Financial Analysis: Identifying all sources of revenue, assessing likely business costs, determining capital needs and modeling financial projections. Market [...]

Equity Loan

BusinessFinance Staff February 7, 2012 No Comments

Equity loan is typically an "investment" in a company that is secured by a certain amount of that company’s shares and structured, in part or whole, as a loan. Investment banks will provide funds secured by the "equity" or ownership shares of your company. Companies that receive funding are those in large rapidly growing markets, or in niche markets which are not targeted by major players. Investment Stage Early and later stage companies with a founder and partial management [...]

Seed Funding

BusinessFinance Staff February 7, 2012 No Comments

Seed funding helps companies with a new product launch. Seed funding is most often confused with startup capital, but they are two different things. It is provided to help a business develop an idea, create the first product, and market the product for the first time. Companies that typically qualify for seed funding are around a year old, and they have never created a product or service for commercial sale. The company is generally so young that the key management team has not yet been assembled, [...]

Mezzanine funding – Short term lending for the long term benefit. Mezzanine funding, in a generic sense, is a venture capital term used to describe funding for a company that is somewhere between being a startup and IPO, or Independent Public Offering. It can come in the form of stand-alone subordinate debt (the most common) or equity transactions. Sometimes it will start off a as a standard debt loan with interest, and if the initial loan is not paid back on time or in full the lender will [...]

Merger and acquisition funding at a competitive rate requires a properly structured transaction. Financing for such scenarios comes in a variety of alternatives. These financing alternatives include: New private equity placement Sale leaseback vehicles Bridge or term loans Other mezzanine-type products Revolving lines of credit The advantages of growing through acquisition are many: Key personnel acquired Increased purchasing power Greater geographic reach Expanded product [...]

Later stage funding is normally for a company expecting to go public usually within a year. Often this funding is structured so that it can be repaid from proceeds of the public offering and non-included in any IPO sale restrictions. Later stage funding investments are for companies with: More than $25 million in gross revenue potential. Large National or International market potential. Management teams with successful track records. Second, third and mezzanine financings are all considered [...]