As you all know, Massachusetts is putting their best foot forward in an attempt to help Entrepreneurs launch successful businesses. Programs such as Stay in MA, Mass it’s all here, and MassChallenge are working on jump starting the startup eco-system in the common wealth.

Traditionally, every Entrepreneur ran from one Venture Capital firm to the next with their pitch book, power point presentation, and objective of raising between $1 to $2 million to get their company off the ground. Their plan was to hit all the milestones and objectives, raise another $5 million, ramp sales and waited a few years to get acquired or go public.

So you’ve got the introduction to that VC you don’t know, made that awesome presentation, and now you have to choose who to take funding from.

So you have a company that’s generating revenue and you get a knock on your door; it’s a Venture Capitalist.  They are interested in making an investment into your company but you have to answer the tough questions to make them feel comfortable. The following are a few items that you must be able to address in your first conversation that can help you secure funding: 

Recently I wrote a blog highlighting the key components of making a killer pitch and the 10/20/30 Rule which focuses on the number of slides, time, and layout.

This week, we will take a closer look at each slide and its contents.

We all know how hard it is to get in front of a Venture Capitalist even if you’re sitting on the next Google. I gave a very brief How-To in my previous post about approaching a VC you don’t know; but this time let’s walk through a step by step guideline.

The Do’s

What does TED, DEMO,TechCrunch 50, or speaking to a Venture Capital all have in common?

Making a Pitch!

You either need to raise money, attract press, make a sale, or get people excited to join your team.

During the fund-raising process, it is important to understand the implications of raising money and how it affects the valuation of your company. In my previous post, I explained how the pre-money and post-money evaluations are calculated.  The following will highlight what occurs after additional money is invested into the company based on percentage of ownership (i.e.- how many shares each party own).

Many Entrepreneurs believe in certain myths about the industry that simply aren’t true. Based on starting a few companies and research conducted by Professor Scott Shane, the following list highlights the top 7 myths that you should know:

Recently, there has been a push in the Boston community and the Commonwealth of Massachusetts to make approaching the Venture Capital community easier. Even so, getting that meeting set up and speaking to the right one can be difficult for some people, especially if it’s your first time!