Investors like milestone funding as it makes clear how much money you will need and what you’re going to do with it (which inspires confidence that they will see a return on their investment). It also helps to keep you on track, and, because it keeps you from raising too much, it keeps your dilution as low as possible.
Author Archive: David Ehrenberg
Some common startup myths have frequently been debunked, like how running your own company will give you freedom (yeah, right!) or how failure leads to future success (it could, but it’s certainly no golden ticket), and how all an entrepreneur needs is passion (who needs the ability to execute when you have passion, right?!).
Your executive summary is essentially the cover letter to your business plan: its goal is to get the reader to check out your business plan and, hopefully, to set up a meeting. Think of your executive summary as the halfway point between your elevator pitch and your business plan—you have about 2 pages (give or take) to communicate your value proposition and get you to the next stop on your startup journey.
In the very early-stages, your startup finance strategy may be pretty straightforward. You need to establish your accounting platform and systems, including accounts receivable and accounts payable. You are going to want to identify the best payroll and banking solution for your company. And you definitely want to give some thought to tax considerations.