Follow these principles to get funding.
Getting funding is like getting married. You want to have a good fit with your investor and a good agreement with him. And you don’t want to be desperately looking for them at the last moment. Often it’s better not to get investors if they are not needed.
Seek capital when it’s the right time.
You will be in a better negotiating position.
Start with “friends and family.”
Try to start generating revenue before you get any funding.
Consider different ways of financing.
Examples include crowdfunding, debt, equity, and convertible notes.
Start cultivating investors today.
Do this well in advance of your fundraising.
Assume that investors will invest in your company only if they believe it’s going to be successful.
Put yourself in the investors’ shoes.