[enough]

I spoke with some guys with deep pockets about a new business idea that i have - i already have a couple of websites and my new idea was an extension to those. However, the new business would have real world people involved and their highly expensive real world possessions!

I'm pretty confident that the idea has potential and believe in my abilities to make it work. The business men who i half-pitched this idea to wanted to invest instantly! They also believe the idea has huge potential and offered me $12,000, six months to get it off the ground and another 6-12 months to breakeven.

They've also offered me a rent-free office! phone line! free broadband! and alll the coffee i can drink! in return for 30% of my business (just the new bit and not the existing sites).

Only this morning i was wondering how to get this new idea working with hardly any cash in my bank! what a turnaround a couple of hours can make?!

my dilemma is: do i accept the offer? the investors have no computer knowledge and wouldn't be able to help. They have, when they set up there own business approached me for advice on allsorts: computers, adertising, financing, marketing, sales, simple business functions, procedures, laws, accounting, taxation and ofcourse, i made their website too. Do i want to go into business with people who will lean on me for everything?...........

........ Except selling - they can sell alright and this has been the missing ingredient for me since.......... well, since! they have plenty of contacts - "viral" word of mouth will definitely help (as it has their existing business)... i think this will be the deciding factor!

I'm considering pitching my idea to a couple of others before i agree anything. I'm happpy with giving them 30%, and $12,000 is more than ample to get it going. Like i say, i'm confident in my abilities, but my previous errors (see my previous thread!) have taught me to be cautious and not jump into such ventures!

writing this post has provided favor in accepting, having considered the venture from another "angle" - maybe it is my time!? i just have to be confident in my ability!

Always helps talking to you!

ok, fire away!!

[online_biz_pro]

Like I have said many times, if you have a solid idea and the money to back that idea, do what's in your heart and then reach for the moon man. If the investor believes that you will succeed, and you believe that you will succeed, you can do it.
That is my vote of confidence to you my friend i have had 3 solid money making websites that are now shut down, but my next idea is going to rock. Good Luck. And about your confidence in your ability dude, you have somethjing there or you wouldn't have investors giving you a great pacjkage like that. You got it man. Now how do i find investors for my idea, can you help me out here?

[online_biz_pro]

success comes from within and if your investor believes that strong in your idea, you have something there. No need to question that. I have had 3 pretty successful online businesses in the past, but sold them all for my latest idea, which i need investors for, if you can help out here that would be cool?

On that note reach for the sky man, there is no limit on what you can accomplish and i wish you the best.

[enough]

pm me your idea and i'll find some investors for you! I have numerous other sources of investment. Provide sample work (or links to) and some background.

Anything is possible if you work hard enough...... nothing is impossible.
........ or i'll have plenty of fun trying - it's win win!!

[jdoc]

Congratulations on your success so far - it sounds like you're really driven!

Here's a good blog article on when/why to have partner(s) for your venture:

Why you should or shouldn't have a business partner

In general finding complimentary skills are a good reason, but bringing capital to the table is also a good one. It sounds like you know these people already a bit, which is a big help.

Think about what your worst case scenarios are with additional people on board (too much control, no agreement that stifles execution, etc.) then ask them how they would address each of these issues if they arose. Their answers will help tell you what you need to know about them and if you can work with them. You can never gbe 100% sure, but take your time and do as much as you can to feel comfortable with them before proceeding.

Good luck!

[akula]

dude.......the people who are giving you money are complete idiots

no one in their right mind would invest in someone in your situation, except for people who have no idea what they're doing

you shouldn't take their money because they're a bad fit for your company

if you have them on board, no professional investors will ever touch your startup if you ever have to raise a proper A round in the future

the amounts you're raising are a dead give away that neither you, or the people you're dealing with have any clue on the long term implications of such transactions

if you really wanna do well, don't do what you're doing

[enough]

Thankyou

That is quality advice in that blog. Very True, i hate yes men! im always looking for criticism or just "another view" - exactly my reason for this thread.

i'm gonna ask these guys some "what if" questions and see how they answer.
although, i'm sure they will utilise "best answer" querying with their responses. it might be useful though.

[enough]

you have no idea what the business is Akula, how can you make these recommendations without that knowledge?
Although, I do agree with you in that they have limited knowledge and are offering to invest in something that they have not researched - making them "idiots" for agreeing.......... and my "situation", which is near desperation, accompany that with my ultimate bias for my own idea can make for another grim venture!

so what do i do? Like i said: I'm gonna pitch it to like-minded individuals, who possess wider knowledge of the industry - at least three sets of other potential investors and analyse their feedback.

Thanks Akula and that is a quality blog, jdoc - thanks for that

[enough]

Originally Posted by akula

if you really wanna do well, don't do what you're doing

- what do i wanna do if i wanna do well?

[akula]

raise more money!!!

:-)

[WanganRunner]

I'd go ahead and jump on it, the office and the broadband make it a particularly sweet deal.

If you need another $10-20k you can go through Prosper.com and get debt financing without having to sell out any more of the company. Of course, you'll have to pay that back, but if you're making good money then it shouldn't be a problem and if you're not making good money you should consider doing something else that does, lol.

[enough]

Originally Posted by WanganRunner

I'd go ahead an