Mission

  • For many entrepreneurs, the venture world is needlessly opaque and confusing. Venture capital is both art and science with karma mixed in. With a synchronistic twist, this blog will try to shed light on the world "behind the curtain" as well as how key entrepreneurial lessons are mirrored in everyday life.

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Comments

great post

perhaps there might be a distiction between selling securities to customers and using customer finance as seed capital

personally, I've seen shops like http://www.squarespace.com/ achieve great results by preselling their product at a discount, and then using the cash to build and deliver the product to presold customers

this approach also seems to work in property development...or any other space where contracts for future delivery are popular

Spot on. The best funding is revenue. Many start-ups can defer or minimize the dilution they take on by getting advanced bulk purchase orders from customers by giving a discount. This isn't equity, so it doesn't create control issues or dilution.

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