Raising Money for a Business Startup – Why You Should Raise Money

Why should you raise money for your startup instead of bootstrapping?

First, raising money addresses 2 of my 3 critical success factors for a business startup

– Not running out of cash

– Having at least one partner or co-founder

Raising capital forces you to put your plan in writing and clarify your thoughts so you can pitch someone else.  Most people will require some form of business plan.

When you find an investor, it also validates the business… There is s big difference between someone

saying that you a have a good startup and someone actually investing.

Is your business good enough for outsiders to put their money in it?

Investors can also be a great resource for introductions, advice, and assistance.

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Questions or comments?

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