Archive for the ‘Seed Capital’ Category
The Limits Of The Seed Financing Boom
The “seed” financing scene boomed acrossSilicon Valleylast year, with numerous young companies scoring early rounds of funding at healthy valuations. But that boom didn’t necessarily carry on later on down the line when the seed-funded companies tried to raise additional sums.
Those are the findings of a new survey fromSilicon Valleylaw firm Fenwick & West, which just completed its second annual seed financing report. The report is based on 56 transactions of West Coast companies last year and 52 deals in 2010.
According to Fenwick’s report, less than half of the seed-funded companies that were surveyed in 2010—about 45%–went on to receive venture-capital financing last year. Another 12% garnered additional seed financing last year, the report found. The rest were either acquired, shut down, operating without raising additional capital, or information wasn’t available on them.
Seed funding is starting to come into its own – but, will it have a greater impact? Keep reading at The Wall Street Journal.
Giving Credit Where It’s Due
A new small business lending program at the University at Albany has created a new generation of entrepreneurs in the Capital Region who have $35,000 for their dreams and a great deal of confidence.
On Wednesday, UAlbany introduced the first class — 11 people — to complete its new Small Enterprise Economic Development, or SEED, program. Participants such as Patricia Greenwood, who runs a vintage shop in Schenectady called Patricia’s Room, said the program, anchored by a $2.5 million revolving loan fund established by SEFCU, has made led to vast improvements.
“It renewed my life,”Greenwoodsaid during a presentation at UAlbany’sSchoolofBusiness. “I didn’t know where I was going when I entered into the program.”
With the help of a loan from SEFCU,Greenwoodhas been able to move into new space on162 Jay St. She lost her previous location inTroywhen the building where she rented space went into foreclosure.
“I’m now in a space that is beautiful,”Greenwoodsaid. “It is the space of my dreams.”
We need more programs like this that combine financing and knowledge to use it properly. Check out this article at Loan Safe.
8 Musts To Successfully Raise Seed Capital For Your Startup
8. Put together an A-team….that means people who have done it before mixed with a few newbies
7. Define your nearest market, not the one for the grand vision
6. Know your subject matter better than anyone can find through research on the internet
5. Know every single competitor and near competitor that raised funding, and why you deserve money
New year – new attitude on raising start-up capital. Go to Rachid Sefrioui to see the top four ways to raise seed capital.
