Legal Services for Startups & Savvy Businesses in Colorado

Financing

How Your Investors Affect (the Cost and Risks of) Your Capital Raise

Accredited Investors & Sophisticated Investors: How Your Investors Affect (the Cost and Risks of) Your Capital Raise

The type of investors you have drastically changes what you need to do to raise capital, the risks your company will incur, and how much it all costs. Understanding the difference will save you money and a lot of wasted energy. This effect is so drastic that—depending on the amount collected from an unsophisticated, or […]

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Seven Rookie Mistakes Startups Make When Raising Money

1) Working with the Wrong Kind of Investors There’s a saying in the startup world: “the first money that goes in determines how much money, if any money at all, comes in after.” Regular startup investors are an incestuous lot, and they’re usually a pretty sophisticated group, too. If you look at the resumes of superstar […]

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21 Ways to Raise Money for Your Business

Too often, startups lock themselves into thinking that there are only a few ways to raise capital. But that’s not true. There are plenty of different ways to raise money if your business if promising and if you’re creative. VCs and angel investors might have certain vehicles they return to repeatedly, but there’s no reason […]

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VC Exits vs. Early Exits

Venture capitalists get lots of attention, and for good reason. Most of them possess an elite intelligence and pedigree combined with machete-sharp business acumen. The super rich trust them to find “the next big thing,” and they’re willing to pay VCs huge management fees to invest hundreds of millions of dollars on their behalf. It’s […]

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Revenue-Based Financing

Traditionally, if you want to raise money, you do it in one of two ways: through debt or equity financing. But angel investors who want to lend a new business money at a reasonable interest rate are rare (for good reason), and those who want to do it for a piece of the pie typically […]

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Six Things to Think about When You’re Thinking about Crowdfunding

crowdfunding

The concept behind crowdfunding is simple and perfectly suited to the Internet. Rather than raise a lot of money from a few people, you raise a little from a lot of people. It’s easy and effective. Lots of new businesses have blossomed in catering to this market: Kickstarter, Indiegogo, and RocketHub, to name a few. […]

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The most expensive legal documents

The most expensive legal documents are the ones you never knew you needed until it was too late. For one example, filing a timely 83(b) election can be the difference between paying no taxes on an appreciating ownership interest in a startup and paying hundreds of thousands of dollars at a time when you don’t […]

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