"The Business Code" by Dan Brown

While the article is about IT, it applies to a wide range of capital acquisitions. By Vikal Kapoor of EquityNet When a fellow investor was apparently unhappy with the answer of the entrepreneur pitching his company’s funding need, I found myself asking my compadre for clarification to his previous question (something the small business owner probably should have done, when all is said and done). “We have been fortunate enough to be able to purchase all of our technology; and therefore, have not needed to lease any of our hardware or software...” was the response from the CEO of a small manufacturing firm seeking $1.5M to expand his clientbase in the defense industry. What I too thought was a decent and standard answer from the business owner to the question from the investor - a former Private Equity executive who invests in US small businesses seeking between $500,000 and $2Million, according to his EquityNet Investor profile, clarified that his original question: “How long h...

How to fail proof your idea with three question validation Starting a successful business is hard. But let’s not presume that entrepreneurship itself is intrinsically riskier than other things that popular culture deems as “acceptable.”  You’ll never be able to completely avoid risk, either in your personal or professional life. However, you can mitigate it significantly by having a solid game plan in place. You need a proven system that will help you determine which ideas are worth pursuing so that you don’t become a statistic of America, Inc. You want to be as certain as possible that your business will succeed before you launch. In other words, you need to fail proof it. Click here to read more

Here’s a question most of my students get wrong, and you likely will too. (Don’t feel bad; just about everyone answers it incorrectly). Ready? What is the number one characteristic of an entrepreneur? The vast majority of my students—and everyone else I ask—-usually say, “They’re risk-takers.” If I’m feeling generous, I’ll reward my students with partial credit for this answer, but I probably shouldn’t. Click here to read more

Want to be extraordinarily persuasive start by banning these 3 weak words

Being a Startup CEO is about solving problems Not Chasing the ‘Dream’ or Ideas   Too often I am approached by potential clients who want to start a business. After a couple of conversations it becomes clear they do not understand what it takes to start a business or simply are not suited to be an entrepreneur. They do not understand the commitment of time and accepting responsibility for the business, especially when raising money to fund their startup. Too often they are under the delusion they can be their own boss and set their own hours. Starting a business is not an 8 to 5 job. It requires total focus and a lot of hours and problem solving. Being a startup CEO is not about being an “executive” it is about solving problems. First, you must solve a problem or fill an unmet need in the market to be successful. After that the business itself will constantly present problems which must be solved promptly in such a way that it does not reappear. A really good CEO will ...