3 ms·
5 Hacks For Closing An Angel Round
- ScottWhigham 18y agoI'm sorry but tip #2 ("Use the same attorney as your investors") is horrible, just horrible advice. This attorney is used by this investor(s) all the time and this attorney has never heard of you and will likely never do business with you again after the deal. Theoretically, if something odd is in the paperwork or something unexpected happens, who do you think the attorney is going to look out for - the long-term client who brings in $100,000 in fees a year or you?
- langer 18y ago"Hack #1: Accept a lower valuation [...] If you want to close your funding sooner, take your valuation down a notch and give your investors 'a great deal.' This means selling me one-third of your company for $500,000, which is still a smart, $1 million pre-money valuation." What percentage discount on pre-money valuation is generally given to really smart money [read: ideal investor(s)] vs totally dumb money?