My Library and Courses
Last Update: Thursday September 21, 2017

You've been vindicated! It is working! Congratulations!!!

Is income up? Is debt going down?


  Four Steps to start and run All of us
Step 1. Initial Idea $
Step 2. Start-up $$
Step 3. Incubate $$$
Step 4. Sole proprietor $$$
  Four to run and grow a business orngeldy.gif
Step 5. Employer $$
Step 6. Growth $$$
Step 7. Sustainability $$$$
Step 8. Exit at the top $$$$


A few key questions ...more to come

1. Focus on order and continuity. 

You have choices. The first principle of business is always to create order and then let the orders follow.

Keep focusing on the fundamentals of your business.  It is  as important as now it was in the beginning. What do you know about knowledge management?  How would you value your business?  ...the intangibles?

2. Focus on relations and their symmetries.

Are you fair with your family?  ...your employees?  ...your suppliers?  ...your customers?  Are they fair with you?

3. Focus on the dynamic of your business and ways to create more harmony.  

Do you know your options?  Which equity-liquidity model is best for both you and your business?

4. The Big One:  What's next?  Can you more-fully integrate it all?

What is the highest and best use of your time? 

Your present is best understood by your key critical ratios at the day-end closing. Your future is best understood by looking at the equity-liquidity model and your exit strategy.Does your exit strategy include a path to the end of your life?  What do you have in place?


The Online Workshop - Case Studies

Learning through other peoples stories - Metaphors and analogies

To learn something new, we must compare it to things that we know.  But, to really know something, we ask questions.  We look at examples and we explore all the dimensions and relations around that new concept, insight, or information.  As much as possible, we explore how this new information fits in with our history of relations.

Is  business all about money?

One might think so given the media's fascination with the greedy within business.  But money is a representation of value and where there is little value, ultimately the business will not thrive.  

Step 6 case studies...

Money at Step 6:                                  Overview - orientation

Using your equity. Angel & Venture Capital

You have a track record.

You can pay less for the money you need to grow your business. You can position your business from strength if you know how it compares to others in your industry. Add an on-going business valuation. Add a clear analysis of your financials. Back it up with managers who can do likewise, and your business model really begins to work for you.

Again it is important to repeat: The more you know about your financials (and the more you can interpret about your business), the more equity you'll keep in your business in exchange for the largest amount of capital infusion.

Angels.

Angels provide bridge loans as well as equity capital. Consider the listings provided by AceNet, now located at California State University - San Bernardino. It is the oldest listing around the USA.

Meet one entrepreneur who relies on an angel rather than a bank for her working capital. Auntie Anne's story is especially worth the review; go to the Case Study Guide and learn about an angel that takes on her debt; he is a farmer. Also, review the show called, We'll show you the money. Then, meet the consummate angels in California's Silicon Valley. They have so much audacity they call themselves, The Band of Angels. There are angels in your backyard. Remember our story where we found an unlikely angel in Huntsville, Alabama.

Venture Capital.

We discovered Woodside Fund when we did the episode about The Enterprise Network. There are now venture capital groups in every part of the country. Just insert "Venture Capital + "(insert your closest big city)" and you should find some local people.

Again, review "We'll Show You the Money." Be careful. Venture capital can be expensive. It can rival an IPO in expense and in dilution of equity.

If you would like some help to do more research, these sites have been doing venture capital research for years.  We have not used any of them so can not endorse them --   Buyer beware -- but, we will make comments from what we know about each.  The links all open a new window.

  1. Ace-Net (from the SBA, Jere Glover and UNH) is now Active Capital :  Now  maintained at the University of California- San Bernardino.

  2. America's Business Funding Directory :  I like this website.  He has been around forever and Coach Ben just continues to improve it. 

  3. American Venture Capital Exchange: his folks seem like straight shooters and the information is easily accessed.

  4. Small Business Administration (SBA):  It is the government so buyer beware. The change web addresses frequently and it is sometimes hard to find anything that is useful.

  5. Venture capital marketplace: Of course, Google and other search engines can open the doors to 1000s of investors.  The best source is your personal network, and then their personal networks.

Although some people say you should be looking for no less than $1,000,000, we believe you should be looking for at least $5 million (sometimes we even think $10M is the best starting point) before you consider venture capital. Anything less is not worth the effort of the venture capital firms and it is not worth percentage of the dilution of your equity.


Reflections on using your equity.

There are no two business owners who are alike.

No one formula works for every one and ultimately the decision rests on the abilities and leadership of you, the founder/owner and chief executive officer. Your board of advisers can help, but the decision is yours.  Perhaps it might help to study the key points on this special episode about leadership.

Have a great story to tell? Does it teach us something more about one of these ways of raising money? Let us know and we will publish it here.  Drop us a note.

Go to the discussions in Step 6 and review those case studies.