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I have a tiny marketplace start up in the EV space and a family member wants to invest $60k. I don't need the money BUT i am at a point where i need to build v2

I have a tiny marketplace start up in the EV space and a family member wants to invest $60k. I don't need the money BUT i am at a point where i need to build v2 and add more features to make more sales with different offers. After reading this article i am not sure if it applies to my situation. I don't know if the family member's $60k investment will be enough and not sure what his expectations are in terms of ROI and if i should just wait and ask for $250k to build v2. I have a friend who can build it at a reduced rate. Kinda confused on what direction to take. The comments are very useful.

jprocopio 8y ago
If you can plan on how you're going to spend that $60K and those plans will get you to a new level of revenue that will provide a good return on the $60K and you're not giving up more of the company than you're comfortable with, then consider the investment. What I'm saying here is that deciding to take investment should be weighed on the merits of the investment itself. It's part of the equation, not the whole equation.
- adamqureshi 8y ago
  Thank you. I will take any advice i can get. I have to make a decision like this week. ;-) merit of his investment is he expects an ROI or a piece of sales OR both. I'm not sure i understand the part of the equation vs the whole equation. :-(
  - jprocopio 8y ago
    So if you think of $250K as the cost to get the business to sustainable, then $60K is part of it, a bunch of your own money is part of it, and your sweat and and anyone who works for you for equity is another part. Think about time too. It could be $250K up front sourced by investors, or $250K over 3 years combining all the sources. Or somewhere in between. There is nuance. Good luck!
    - adamqureshi 8y ago
      Thank you! I really appreciate it.
dustingetz 8y ago
that’s an ace up your sleeve my dude save it for the time when you need it

jprocopio 8y ago

If you can plan on how you're going to spend that $60K and those plans will get you to a new level of revenue that will provide a good return on the $60K and you're not giving up more of the company than you're comfortable with, then consider the investment. What I'm saying here is that deciding to take investment should be weighed on the merits of the investment itself. It's part of the equation, not the whole equation.

adamqureshi 8y ago
Thank you. I will take any advice i can get. I have to make a decision like this week. ;-) merit of his investment is he expects an ROI or a piece of sales OR both. I'm not sure i understand the part of the equation vs the whole equation. :-(
- jprocopio 8y ago
  So if you think of $250K as the cost to get the business to sustainable, then $60K is part of it, a bunch of your own money is part of it, and your sweat and and anyone who works for you for equity is another part. Think about time too. It could be $250K up front sourced by investors, or $250K over 3 years combining all the sources. Or somewhere in between. There is nuance. Good luck!
  - adamqureshi 8y ago
    Thank you! I really appreciate it.

dustingetz 8y ago

that’s an ace up your sleeve my dude save it for the time when you need it