I am launching my new company soon and am in the midst of seeking funding. All my previous companies I have gotten funding from existing publishers or companies etc. This one I want to go to the private sector which gives you a greater field in which to sell you company, more suitors so to speak. Basically we are going to be doing a video game company where people can participate in the making of the games through our interactive website. In addition when the games are finished we are going to let people sell their modified versions of our games and make their own money. We have a full business plan and supporting marketing/data materials. We are beginning the process of speaking to Angels, Private Placement, and Venture capitalists. Anyone have any experience doing that? Personally, I would rather go straight to the public and let people buy a share for $1 and have 6 million of the for sale.....basically 30% of the company but my lawyer keeps telling me no. Dang it.....so, any suggestions on how to go about getting meetings, or outside the box thinking? Thanks, DD
Go borrow it from a bank... do you have any assets? Why do you need 6 million? Can you get away with 1? It doesn't sound like you need 6 million to startup your company.
Venture capital sounds great but they get a substantial amount of control over your ideas/company. They have the ability at times to oust you or expect specific cash flows by certain times. Finding partners that believe in your ideas is really the best way to go. Or allowing the company to grow at a pace in which the reinvested cash flows support continued growth.
Just set up a Special Purpose Entity, collect 3% of "outside" equity from you're buddy's gay lover, finance the remaining 97% with your company stock, and "sell" a couple of assets totalling 6 million dollars to the SPE (with the promise to buy it back in 6 months). What could possibly go wrong? Sincerely, Spoiler
i have an acquaintence who owns a business financing company... he'd probably be willing to hear you out.
