http://disqus.com/people/MyOnlineToolbox/enWed, 04 Mar 2009 15:12:51 -0000http://angelsoftblog.disqus.com/the_entrepreneurinvestor_disconnect_on_returns/#comment-6878863Your comment was really interesting. I have gone through this myself and I can concur to your thinking.backgroundcheckWed, 04 Mar 2009 15:12:51 -0000http://angelsoftblog.disqus.com/private_posting_to_the_investor_community_vs_applying_through_the_group_finder/#comment-2235234Someone new to soliciting funds should definetely apply to the local community before placing themselves on the national stage. You only have one chance at a first impression and the local people will give you a good sense at what you are doing right and wrong. It is a never ending process with your Executive Summary, Business Plan, PowerPoint Presentation, Cap Table, etc., and it is better to understand and be prepared before looking to immature to the angels of the world. For what it is worth, I spent almost a year being critiqued by my local community but was then able to raise more than 1 million for numerous people in different states and countries.MyOnlineToolboxMon, 08 Sep 2008 16:02:42 -0000http://angelsoftblog.disqus.com/the_entrepreneurinvestor_disconnect_on_returns/#comment-2235157My suggestion to the entreprenuer is to not get caught up in the exit strategy valuations since the chances of being correct, especially in the founding years is probably way off base. I have found that it is smarter to constantly create value as you reach your goals for product development, marketing, sales and then profitability. All you need to do is find at least one or two angel investors and the specifics ROI measurements will eventually work itself out. And of course, this is easier for the angel investor(s) to digest if your valuations are reasonable. The entreprenuer only has so much bandwidth in a day and my suggestion is to prove the model and make sales. Focus on castles-in-the-sky ROI valuations when you are stuck on a plane, but do not loose the waking hours on this issue.MyOnlineToolboxMon, 08 Sep 2008 15:57:01 -0000http://angelsoftblog.disqus.com/un_fundable_lifestyle_busienss/#comment-2235072Another way to tick off the average entreprenuer is to ask him when he feels he may need to step aside for a more seasoned executive to take charge. Most entreprenuers have a limit on how far they can go, whether it be to even get it off the ground floor, to 1 million, or to 10 million, etc. All of this is critical to the mindset of being a successful businessperson versus being a sucessful investor. In my case, I know I am capable of growing the company specifically towards its target to be acquired or merged with a larger firm.MyOnlineToolboxMon, 08 Sep 2008 15:52:20 -0000http://angelsoftblog.disqus.com/what_do_angels_look_for_in_a_fundable_deal_13/#comment-2234983I agree with everything EXCEPT the location comment. I am based in Florida and have "angel" investors from California, Minnesota, New Jersey, Toronto and Britain. I believe most of the "location" stereotype has to do with the fact that that most entreprenuers are not equipped to properly treat investors like partners, so the investor then needs to feel like he can simply drive to the business to get a pulse on his investment. I embrace all investors as if they are sitting right next to us regardless of location. We have weekly updates and quarterly meetings timed perfectedly to include Britain to California. I feel the angel's investment should include good management skills, including ensuring that the angel does not need to come to the office to find out what is going on. And if so, then the entreprenuer is doing himself a dis-service since opinions, suggestions, quidance is what we want in addition to money.MyOnlineToolboxMon, 08 Sep 2008 15:46:07 -0000