You have a great business concept and decided to start your business BUT you find yourself in dire need of funding. The best thing to do is to hook that potential investor you were chatting up and get the cash, right? WRONG! This decision has serious implications. First, any investor at a minimum will want to be abreast of decision-making and in a lot of cases require formal approval with operational decisions. This can present hurdles with your daily operations as you grow. So, you’ll just shut them out, right? After all, this is YOUR brainchild- your business. WRONG AGAIN! If you try to go this route, you may find yourself defending a lawsuit brought against you by this investor. Click HERE to read more.
Outside investors: Just because it makes dollars DOESN’T mean it makes sense!