What is the appropriate percentage share for investors?

[Impact222]

Hi guys!

I am new to this forum and very glad to see like-minded people sharing ideas and thoughts.

I want to start my small internet business, that would require about €3.000 for testing the demand for my product and if successful (ROI of more than 150%) another €7.000 for the development of the full product and quality web-site.

For the €10.000 I estimate around €50.000 to €70.000 in sales during the next 2 years (this will vary depending on a variety of factors i.e. the click-through rate and conversion rate my ads will have)


Now I am a full-time student and cannot earn enough in order to invest my own money into the project. That is why I will need to find an investor to provide the €10.000

I would like to know what is the appropriate percentage share of profits that the investor can expect from me for the €10.000 investment.
20%? 30%? 50%?

Thank you.

Impact

[akula]

this has been covered many times, look up "premoney valuation"

[Cole Taylor]

Yes, you can look up pre-money valuation, but the answer is it depends. It depends on whether you're structuring the deal as equity investment or a loan, what collateral you have and what you will pledge.

[marcstep411]

Take a look at our non-commerical site The 411 on Startups > Finding Angels > Fundraising, Financing, Raise Money, VC, Angels.

You will find credible, screened information to answer your question.