raising money

The Downsides of Raising Money for Your Startup

by / ⠀Funding Startup Advice / May 13, 2012

Raising money should be seen as a means to accomplish ambitious goals for your company, not an accomplishment on its own. Securing investment from a prestigious venture capital firm can make headlines, but there are many downsides to raising money for an early-stage company. Here are a few: 1.) Dilution The earlier stage your company is in, the higher risk it’s perceived to have. This means lower valuation…

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