Anyone ever looked for/received any funding for a business?

A few months ago I officially started my business. I've got ideas popping out of my head and a few started with a couple of developer friends of mine but would like to find some funding to be able to pay myself and a couple of developers a salary to develop things full time. I'm extremely confident in my ideas but just need some capital to help see them to fruition.

Sooo, all of that being said...has anyone ever received any funding from some sort of venture capitalist or anything of the sort? What is the process for looking for that sort of thing?

 

I've had plenty of experience raising money through angels, vc's and friends and family. Your question is pretty broad so I'll respond with some broad strokes:

Before you present to anyone for money you really need a written business plan with financial forecasts. There are lots of factors to consider when deciding who to approach for money. The general hierarchy is:

1) Friends & Family
2) Angels
3) VC
4) Investment Firm

Where you attack in the hierarchy is dependent on primarily the stage of your business, the amount of money you're seeking, the potential return for the investors.

There are tons of books and websites to go to get all the detailed info on all the options.

Cutting to the chase ... probably friends and family and possibly angel investors are where you probably would want to start looking. You'll want a business plan and an attorney to make sure you do it properly. You'll also want an accountant to advise you on corporate structure, tax implications, etc.

 

I've been involved with a number of funded startups.

Not to burst your bubble, but the reality is that it's extremely hard to get picked up unless you're launching a biz that could generate multi-millions. Technology based companies get the most attention, retail the least.

From looking at your site and reading your post, my best recommendation is to look at different ways you can bootstrap. Even a private investor is going to avoid a startup that's simply looking for 'salary' money. That's just not the way investsments work. Your idea alone isn't enough to garner equity...you have to invest your own money and time as well. You won't get anywhere without doing lots of research, crunching tons of numbers, and putting it all on paper for investors/loan agents to review. You'll need experienced advisors to mentor you. Investors want to see this too (your experience in business as well as the Board of Advisors you've chosen).

There are other options to consider....you might attend a local SBA (Small Biz Administration) workshop or counseling session on business planning. You can also look into the requirements for applying for a SBA loan.



All in all it's a long daunting process. Local biz incubator programs might be able to give you some more details as well.

Another possibility is approaching other entreprenuers online. You might offer an equity share deal, but again any serious experienced business owner is going to want to see a plan of action and realistic projected revenue and expense calculations. Consider that a fair number of folks right here on DP are making good money through Adsense and affiliate commissions. There is a huge market for offering free content and services, while pulling in revenue through sponsors and the methods mentioned above.


Good luck!

 

Yes, a business plan is in order and it's a numbers game as far as getting a "yes". A few years back I was able to get 10 grand for an offline business by going door to door to other business owners. One merchant who purchased an ATM machine from me liked my plan and said yes.