Category: Funding & Finances (Page 11 of 15)

How do I get my first startup financed without bankrupting myself?

QUESTION:

I am in the process of starting a business centered around an invention of mine which is a luxury manufactured good. It’s cheap to make and has a guaranteed large target market. I am hitting speed bumps when it comes to the financing aspect as I am 20 years old and do not have a ton of capital to my name. I don’t want to reach out too far and have no control of my first venture, but at the same time don’t want to bankrupt myself in the process. Are there any good suggestions you could offer for my bankruptcy questions and financing needs?

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Is it possible to find funding for a startup that will grow into multiple franchise units?

QUESTION:

I am looking to start a company that I vision will grow into operating multiple franchise units. Is it possible that I can find startup funding? If so, where?

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What is shadow stock and how does it work?

QUESTION:

I run a design firm, and I don’t want to go to all the trouble of giving out stock options to my employees and contractors. I’ve heard people talking about “shadow” stock, where you promise to give people working for you a bonus equal to a percentage of the sale price of your company if it is acquired while they are still employed. Is this what shadow stock is all about? Can shadow stock be as simple as a bonus agreement tied to the milestone of selling the company within a given time period?

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I have $2k to invest in a commercial franchise, bad credit and no real assets. Are there any loans I can get?

QUESTION:

I have $2000 to invest in a commercial franchise, bad credit and no real assets. But I want to know, are there any grants or loans I would qualify for based on the business, so I could make a larger investment?

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How do you overcome an inexperienced management team when seeking capital?

QUESTION:

When seeking capital, how do you overcome the weakness in the management team of not having start-up experience? Also, is it a sign of weakness to inform them that we are seeking this capital as a way to attract top level CEO candidates or other high level team members to help us to the next step?

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Any recommendations for A/R financing companies or factors?

QUESTION:

I have a startup that’s about 1 year old, and just starting to bring in revenue. I have a new, credit-worthy customer that I’ll be invoicing regularly about $20-30K per month, but will probably take 45 to 60 days to pay. In the past, I’ve setup A/R (accounts receivable) financing for my companies. What can I expect in terms of fees and percentage rates in the current climate, and for a company in our stage? I’ve heard about firms charging as much as 3.5% to 4% of the invoice amount for 30 days! That’s a LOT more than I paid in the past. Finally, any recommendations for A/R financing companies or factors?

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