Q. Where does one begin on their journey into the world of private company investment?
How would you go about securing capital to fund your own private company from the ground up?
Steve's Response
Great question. Typically if the business has not been in operation, the seed investment will come from the Friends, Family, Directors etc of the business. They will be investing based on their belief in you and the general nature of your concept.
Once your concept is proven, the next stage in funding is for Commercialisation, which can be sort from High Net Worth or Angel Investors. Investors at this stage, tend to want to be active with the business and introduce their networks, IP and potentially investment, to assist in the Commercialisation Phase.
It is important that as you move through these phases, that you build a strong Advisory Board and Management team to guide you through these difficult phases. It will also be the first component which investors want to see when they are taking a closer look into your business.
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Capital requirements for an Institutional/Sophisticated Investor
