• Guaranteed Venture Capital and Private Investor Funding Solutions

    Category: Venture Capital Financing


    Think back to just a few short years ago, banks were on a lending spree, corporate lines of credit were being issued in record volume and companies were able to raise equity and debt capital with reasonable ease; then came the banking crash which unfortunately brought on an entirely new group of scams preyed on the innocent and naive small business owner which damaged the economy that much more.

    Scams such as platform based funding, banking instrument collateralized lending, shelf corporation scams and on and on. Fortunately there is a light at the end of the tunnel thanks to some of the venture capital and private equity industry’s talented global finance executives who have decided enough is enough.

    Now entrepreneurs are seeing professional collective funding efforts put forth by these seasoned finance gurus in the form of online membership databases which possess some of the best kept secrets in the global funding markets. Many of these databases include finance companies and methods that have never been available to the public and were used for decades by VC professionals who were able to pull off funding miracles on behalf of clients and in return made hefty commissions.

    Now, with these unique contacts being placed in database form they are now available to everyone and anyone who needs capital. Imaging going to one website, joining for a modest fee and getting access to thousands upon thousands of private investors, angel investors, venture capital firms, hard money lenders, private equity firms, aggressive hedge fund lenders, Asian and European finance, factoring and other wonderful and easily comprehensible options to acquire capital.

    A few of these membership databases have even taken the next step to give the business owners the elements to promote their business in a way that will help them pass due diligence with ease. Some venture capital executives got so fed up with having a client with a great business model, solid infrastructure, exceptional board of directors and even money in the bank but the deal would die when the company went into the due diligence and offer phase that they actually paid programmers to design a down-loadable application that offers the entrepreneur easy yet extremely powerful publicity with the strength of an actual high end PR firm all at the click of a button, it’s truly amazing.

    The economy may not be what it used to be but it has forced the evolution of certain aspects of the financial industry to be more small business and entrepreneur friendly. There is massive funding out there for your company if you take the time to look.

    Check out Angel Funding Project at http://www.angelfundingproject.com this is a massive online database put together and managed by some of the industry’s top venture capital executives. You can even download a free massive publicity application that will give you 1,000’s of free promotional links to drive traffic and pass due diligence by investors.

    Venture Capital FAQ:

    Question: What is the risk involved in finance situations, dealing with selling bonds, issuing stocks, venture capital, debt and equity financing?

    Answer: If you are the issuer, the risks are that you end up having to give all the money back or end up in jail for securities fraud. All issuances of securities require registration or an exemption from registration. These are typically done via an exemption from registration, but it easy to blow an exemption. If you blow an exemption, you could end up having to give the money back to the investors. In connection with the offering, if you make a material misstatement or if you fail to make a statement which would make other material disclosures not misleading, you could be liable for securities fraud. That is not what you want. If you are doing such an offering, you should obtain competent securities counsel.

    Question: What are the methods of financing your own business? I was thinking VC’s but I need details.
    Also why do VC’s provide financing at all? I mean say you need money for your business and I give it and I want a 51% stake in the company as the venture capital firm but I am PAYING FOR THE WHOLE THING how does this help me?

    Answer: I’ve always financed things with the local small bank as they give the best terms. There are now some finance companies backed with wall street money but their terms will be in between bank and VC firms.

    The answer to your second question is purely R.O.I. or RETURN ON INVESTMENT. If a VC firm lends $50,000 that returns $25,000 a year to them, why wouldn’t they do it? They realize there are plenty of entrepreneurs out there with great ideas and they want to piggy back on your success. These people have money, but they need your ideas, and you’ll also be doing the work. They are just lending money, and they can’t make much lending it out in the traditional fashion like banks. If you start the next Yahoo or Google they don’t care how much money you make as long as they make it right along with you.

    Question: I have a sound business start up plan. But I don’t have fundings. How to arrange venture capitals funding?
    I am not eligible for bank finance, because I don’t have margin money or property for mortgage.

    Answer: If you are in the US you can start the business now and build its credit before you do anything else. Then you will have funds available. Outside the US I would recommend finding a partner or silent partner to help fund the business.

    Question: I am a business student and I need to understand the difference between Venture Capital Firms and Finance Companies.
    And I can’t seem to find a simple worded explanation of the difference between them.

    Answer: Venture capital firms – loan you money but take a position of ownership in your company and the money they loan is senior debt. Finance company is just a provider of funds, there is no ownership interest.

    Question: What can an MBA do for me?
    I am doing Masters in Industrial and Management Systems Engineering. Interested in Finance and venture capital stuff.

    Answer: An MBA can get you in the door — you have to make the rest work. The one interesting statistic is that the greater majority of individuals that earn an MBA never work for themselves.

    Question: Best way to borrow money – venture capitalism?
    I have a small business that would do a lot better if there was some capital. The problem is credit. I own all of my equipment and my building as well as an accounts receivable but banks do not care. So, the question is – how to find a reliable venture capitalist. Also, what is the best agreements for venture capitalism investments? All I know is that I am a GREAT chiropractor as well as have a drug testing business that has the potential to go National but no financing.

    Answer: You have what you need. I am not sure why you want a venture capitalist. You said the problem is credit. If you own the building, and need credit, take out a equity line of credit on it.

    Question: Where can one raise international finance to build a manufacturing factory in Africa?
    Sourcing venture capital for start-ups is a tough one in Africa. Bankers offer short term credits at high interest rates and fully colaterized. This limits budding business people with excellent ideas.

    Answer: Speak to your country’s Executive Director at the World Bank, International Monetary Fund, or African Development Bank. There might be a Policy Framework or an Initiative that could help you start-up.

    Question: Where to get venture capital funding for my website? What do I need to prepare?
    Imagine you have 2 partners, and all you got now is a domain, and a potential website with good content and functionality. Now, you need funding, financing. You don’t even have a company at this point. None of your partners has finance background. We know nobody who works at a VC. What are the procedure in order to get VC funding? Would you open a company with your 2 partners first? Where to find the VC? What do they need to see? Will they invest into our company?

    Answer: It really depends on how much capital you need. My personal opinion, is that when starting a company you need a finance guy to sort the financial options. You could also use somebody with a law background to help you through the process of becoming a business.

    Venture capitalists will never consider small investment opportunities. They usually go big with people who have a solid plan. It seems as if you just need an angel. A angel is a wealthy person who can provide you the money to start up your business. However, angels can be difficult to find, especially if you don’t know anybody that has extra cash to risk.

    The best method if you can’t find an angel is going through small business loans. Check with your local chamber of commerce to find out about small business development in your area.

    I would definitely recommend you write up a business plan. Nobody will take you seriously if you show up and are all talk.

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