What is Venture Capital? In venture capital, investors provide startup companies and small business that they believe have a long-term growth potential with finances. The venture capital comes from investors that are well-off, investment banks, and other financial institutions. It can be in a form of monetary, technical, or managerial expertise. For the investors who…
DetailsLean Startup methodology offers best practice in order to innovate at great speed in the face of dynamic market forces and the external disruption. Lean Startup methodology is about using minimal resources to maximize impact at the fastest pace possible.
DetailsAn angel investor is an individual that invests in a new or small business venture by providing capital for start-up or expansion. These investors have spare cash available and look for a higher rate of return than they would get from more traditional investments. They typically expect a 25% or more return.
DetailsLean Canvas is a one-page business plan template which helps break down the idea into basic assumptions in order to make it easily readable and editable. It was designed by Ash Maurya specifically for startups. It is target-specific and integrates small and large businesses effectively. It addresses wider customer problems and their respective solutions.
DetailsICO-An Initial Coin Offering commonly referred to as an ICO is a fundraising mechanism which has gained popularity recently. In an ICO, new projects raise fund by offering company created crypto tokens. An ICO is similar to Initial Public Offering (IPO) in which investors purchase shares of a company.
DetailsGrants are publicly funded schemes. They provide cash awards, free equipment, tools, or reduced costs for providing vital resources to entrepreneurs and small business owners. The cash awards range depends on the scheme and can be from hundreds of dollars to hundreds of thousands.
DetailsWhat is a financial model? A financial model is a tool which is built to forecast a business financial performance into the future. The forecast is based on the company’s historical performance and assumptions about the future. An income statement, balance sheet, cash flow statement and supporting schedules known as the 3 statement model is…
DetailsA sales plan is a critical tool which helps set goals and identify where and how work should be done to generate revenue. It is a strategy that helps identify the potential customers, establish goals, and to lay out sales and marketing tactics needed to meet the goal. Sales goal of a company defines what they are trying to achieve and what their focal point of the business is on. Individual goals for salespeople are established based on their skills, knowledge, and abilities. In the sales plan, the potential avenues of contact should be identified such as media advertisement, classified listing, or direct mail.
DetailsThe first round of funding is known as the Series A. During this round, the startup business receives funds from a venture capital firm. It is important at this stage that a plan on the development of the business model is made so long-term profit can be generated. At this stage, the investors look for companies that have great ideas and have a strong strategy to turn that idea into a successful, money-making business.
DetailsStartups failing is not a new phenomenon. Numerous studies have been the subject of how and why startups fail. Most studies indicate, that the number one reason for startup failure is: there was no need for the product or service. Making a better product that no one needs is a sure shot way to kill a startup. Interestingly enough, 3 out of the top 5 reasons have to do with financial aspects: running out of money, the competition was quicker or more efficient, and pricing and cost issues.
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