What are the hottest technological innovation today that are investment-worthy?

Keep in mind that investors invest for returns. Telling a prospective investor that you want his or her money to grow your business but don't plan on ever generating a liquidation event that pays him or her a dividend is not likely going to work; angel or not. You may be better served with debt financing where returns are generated in the form of interest payments not equity value growth. BUT, if equity financing is the plan, you're going to want to develop a strategic exit plan right from the start. That means identifying prospective buyers, strategic channels etc and characterizing the value drivers for each right up front. You'll find prospective buyers come in a number of forms; competitors, bigger versions of you, strategic partners, private equity, etc. Each will value your business in different amounts for for different reasons. Understanding this is vitally important for you to navigate to securing the right money, from the right sources, with the most favorable terms. Once you've qualified and quantified each of them, then determine what (specifically) you're going to need to do to align your business with those prospective buyers generating the highest returns. This will drive your business model and go to market strategy and define your 'use of funds' decisions. This in turn result in a better, more valuable business whether you exit or not. Do it this way and you'll have no trouble raising money from multiple sources. You can learn more about the advantage of starting with a Strategic Exit plan here: http://www.zerolimitsventures.com/cadredc Good luck. Steve

I would suggest the first question to ask is "what problem do I solve?" And of those people I solve problems for "who do I create the most value for?" In the non-profit world you need to add "How does my business help the non-profit run better and/or help the group the non-profit focuses on?" For example, if you've created a platform that drives donations, your company "has created a platform that helps you reach fundraising goals faster." What you don't want to do is market and sell to B2B and B2C audiences simultaneously. They have different ways of buying - a B2B audience needs to have their benefits quantified (using your thing makes me x amount more) - and it's extremely hard for a startup to be able to do both well. Better to start with one, execute really well and move into the other. Feel free to give me a call and we can dig into who your most valuable audience is.

Team is more important than the startup itself. Investors prefer invest in the Jockey over the Horse. There may be n number of reasons for not getting through the funding rounds. If your startup is able to provide 10x return I can invest straight away. However, I will look at the team first and foremost and then I will look at the management skills and then I will come to other metrics like traction and scalability.

If you and this person, *know* they won't be the CTO, then absolutely not. If there's an understanding that the engineer you are working with is going to "cap out" soon beyond the MVP, why would you ruin your cap table? This *should* help you get a reasonable amount of equity. http://foundrs.com/ The most crucial question is where this current contributor is likely going to be out of their element. Are they only front-end and have no back-end ability? If so, you really should raise (from a friend or family member) or borrow the money necessary to pay this person a reasonable cash rate. If on the other hand, they can take a successful MVP and build a reasonable back-end but will cap out on scaling it past 100,000 users, or for example, you're an enterprise company and you know you'll require a technical person to be part of closing early sales, then it's ok to give up meaningful equity. But another key question is: Are you ok to let this person define your company's engineering culture? If this person isn't capable of or comfortable managing your tech team in the early-days, this person should have no more than 10% equity. Of course, your shares and theirs (whatever you decide) should be subject to a vesting agreement (minimum 3 years and preferably 4). It's easy to give away equity when it's worth very little but as I've said here before on Clarity, imagine your company today being worth $100,000,000. Can you imagine this person contributing $20,000,000 worth of value to achieve that outcome? $30m? $50m? Here's the thing though. If this person can grow into a CTO, and wants the chance, and there's no warning signs that it will be a tough slog for them to get there, and they're a passionate believer in what's been built to date, then it's entirely reasonable to bet (with equity) that they can get there. I know a lot of CTO's of great Series A and beyond companies with amazing traction that started off as lacking a lot of the criteria of a great CTO candidate. This is an area I've helped coach a lot of startup CEOs through and have experience in myself. Happy to talk through in a call to understand the specifics of your scenario and provide more detailed advice.

If you're not technical yourself, then you might not be able to gauge the efficiency of a candidate's algorithms or critique her code. But there are still some higher-level, more behavioral things that a non-technical interviewer should be looking for in a strong development candidate: 1. What are some tech blogs that you follow? Explain an interesting article to me that you read from one of them. The software development world changes all the time. Best practices are constantly evolving and new libraries are regularly released which make developers more productive. If a candidate doesn't keep up with the latest software news, that might be a red flag that they're not curious or trying to improve themselves. Also, having them explain a technical concept to someone who's non-technical is a great way to gauge their communication skills. Do they seem like someone you could work with and understand easily? Do they care about pausing to make sure you understand, or do they just drone on with jargon? If you feel overwhelmed while they're explaining this answer, imagine how you'll feel when they're telling you why the product has bugs or isn't going to be done on schedule. 2. Tell me about a time you ran into a big roadblock with something you were building. How did you get past it? It's inevitable that a software developer will get tripped up or have to solve some Gordian Knot. Everyone has to bang their head against the wall from time to time. Maybe an API didn't have the data they needed or some function was running too slow and they weren't sure how to speed it up. You're looking to see how they are as a problem solver. Did they come up with a clever but hacky solution? Were they methodical or did they fly by the seat of their pants? Did they go back to the stakeholders and see if the feature's requirements were flexible? Did they work on it for hours and hours trying new things? Did they ask for help from colleagues or on the internet? No right or wrong answers here, but you want to get the sense that this isn't someone who throws up their hands when they hit some friction. 3. Tell me about your favorite project that you worked on. What work are you most proud of? By asking them about the project they're most proud of, you'll get to see what it is that they value most. Maybe one candidate is most proud of a side project they built, even if it wasn't that technically complex, while another candidate is proud of their esoteric PhD project or some specific algorithm they improved. Again, no right or wrong answers, it really depends what type of candidate you're looking for. But it lets you see into their mind a bit, and get at some of the aspects that can make someone a strong development candidate. If you want to talk more specifically about hiring for your team, I'd be happy to do a call!