Loading...
Answers
MenuWhat's the best solution to raise money from all around the world?
Hi all,
We have a Startup based in Estonia and we were wondering how does it work if we want to raise funding from all around the world.
We have both a European and American focus in term of users/customers... So I was wondering if, we raise money in Europe (via the Estonian entity), would it still be possible to discuss with US investor (they usually require a Delaware entity)?
Answers
Crowdfunding is the best option to raise money from all around the world. I did this multiple times for my startups. There are several different options, you can start your research with Fundify, Seedinvest, etc.
Look for Equity-based crowdfunding. Good Luck!
By making you own business and you must understand that's all will be easy when you trying
This is such a relevant question in today's COVID climate day. I work with a number of hardware companies (one of them based in NYC just closed a $2.5 million round with a venture capital firm that's in London).
The long and short of this is, if your business is 'that good'. Then then investor will do anything in their power to make sure they get in on the deal.
So, I think you should reframe the question a bit, you may want to ask, "We are looking for 'this' type of investor, does anyone have anybody who might be interesting to speak with directly about this?
And that, is something I can help you with. Let's schedule a chat and I can walk you through the tools I use to help companies just like yours raise capital all around the world.
Hi, You can raise from a US Investor with an Estonian entity, nevertheless, they are likely to ask you to incorporate in Delaware, and move your HQ to the US. So, if you have grants from the Estonian Gov. or UE, you need to check if you have to settle your HQ in Estonia or UE.
Suggestion: Define the market where you have the biggest percentage of early adopters and how much revenue you may have ...if you are at the idea stage, better go through an accelerator... check the tips that I just gave here and on LinkedIn about choosing investors: 18h • Edited • 18 hours ago
How can startups find matching Investors?
Fundraising isn't just about raising money...
It's about much more things... #startup founders need to see the process as matchmaking.
These tips might help to match your startup against the right investors:
✔️ Define what you need in terms of money
✔️ Define what you need besides money
✔️ List the investors that invest in your space.
✔️ List Investors that have the experience and contacts that you need.
✔️ List Investors that invest an amount of money 3 to 10 times bigger than what you need.
✔️ List Investors that have an investment portfolio that can bring your startup network effects and others and boost growth.
✔️ List both male and female investors as diversity is needed for you to have all the perspectives..and focus on one gender, and a generation whose problems your startup is solving.
Using today's theme, your relationship with an Investor is just like a marriage, and from which it is difficult to divorce...
So, besides the above mentioned there are other aspects that you need to take into consideration, as you will be meeting, reporting, and dining with these investors:
👉 What is their personality?
👉 Do you see yourself connected with that person for at least 5 years?
👉 What are your values and theirs?
👉 Do your startup goals match theirs?
The last but not least, a good marriage might end with a good divorce, if you have a good pre-nuptial agreement!
Related Questions
-
Pre-seed / seed funding for a community app... valuation and how much to take from investors?
To answer your questions: 1) Mobile companies at your stage usually raise angel funding at a valuation equivalent of $5,000,000 for US based companies and $4,000,000 to $4,500,000 for Canadian companies. 2) The valuation is a function of how much you raise against that valuation. For instance, selling $50,000 at $5,000,000 means you are selling debt that will convert into shares equal to roughly 1% of your company. 3) I would encourage you to check out my other answers that I've recently written that talk in detail about what to raise and when to raise. Given that you've now launched and your launch is "quiet", most seed investors are going to want to see substantial traction before investing. It's best for you to raise this money on a convertible note instead of actually selling equity, especially if you are intending on raising $50,000 - $100,000. Happy to schedule a call with you to provide more specifics and encourage you to read through the answers I've provided re fundraising advice to early-stage companies as well.TW
-
At what point should an entrepreneur give up on their venture?
I help B2B companies find their most profitable customers. This a tough spot with no cut and dry answers. I would ask the following: - There's a lot of things I could do, why did I choose to do this? Think of this as a gut-check to gauge whether you want to push through or not. - Define 'no traction' with customers. What was the reason they originally bought from you? What problem are you solving for them today? You can find this out by calling and asking. - Can I be cashflow positive just providing them what is of value? If you're getting positive answers to each of these questions, keep going. Not every products needs, or can have, a hockey stick-like growth chart with customers. Finally, I would pretend the $150k investment didn't exist and I still had the customers and product I have today. What would I do with the product? The more you invest in something (emotionally and financially) that harder it becomes to abandon it. This is known as the 'sunk cost fallacy.' Stepping away from it can provide much needed prospective. Feel free to give me a call if you'd like to chat more about your specific situation.AV
-
What roles should the CEO and CTO have in a VC meeting?
The more important first impressions to leave a VC with are: 1) That you both are credible and inspire confidence that you can execute the plan you're fundraising on. 2) That there is good chemistry and a great relationship between the two of you; 3) That you can adequately address the concerns/objections/questions the VC raises. The CEO is expected to do most of the talking because the CEO should be the best person in the company at articulating the vision and value of the product and company you're building. If your CTO is comfortable presenting part of the pitch, it would be ideal for the CTO to speak to the product slides. The most important thing is for the CTO not to be a "bump on the log" meaning that you don't want them sitting there for most of the presentation with nothing to say. If you feel that's the case, you really shouldn't bring your CTO. Most VC meetings will not get technical and under the hood. Each question answered should be answered by the person best qualified to speak to that question. You should make eye-contact with your partner and use subtle body language to find a way to cue the other person to speak to that question or simply offer "CTO, would you like to answer that?" Bottom line, make sure that the CTO can speak confidently enough about the product and vision, otherwise -unless specifically asked by the VC - come alone. Fundraising is a big distraction to building and a good VC will always respect that in a first meeting, the CTO can be excused from attending in priority of building product. Happy to talk to you both on a call about helping get you feeling a bit more confident and prepared before your meeting. I was formerly a VC associate for a $500m fund and have raised money from VCs as a serial entrepreneur.TW
-
Does anyone know of a good SaaS financial projection template for excel/apple numbers?
Here is a link to a basic model - http://monetizepros.com/tools/template-library/subscription-revenue-model-spreadsheet/ Depending on the purpose of the model you could get much much more elaborate or simpler. This base model will help you to understand size of the prize. But if you want to develop an end to end profitability model (Revenue, Gross Margin, Selling & General Administrative Costs, Taxes) I would suggest working with financial analyst. You biggest drivers (inputs) on a SaaS model will be CAC (Customer Acquisition Cost, Average Selling Price / Monthly Plan Cost, Customer Churn(How many people cancel their plans month to month), & Cost to serve If you can nail down them with solid backup data on your assumption that will make thing a lot simpler. Let me know if you need any help. I spent 7 years at a Fortune 100 company as a Sr. Financial Analyst.BD
-
How important is a co-founder when it comes to raising capital?
I'm a single founder who was raised angel and venture capital. If your business is compelling enough, you could raise angel funding. But there is little chance you can raise venture funding without a team in-place. It's a negative signal to institutional investors that you haven't been able to lock down a committed team. That said, depending on the nature of your product and traction, it sounds like you might be past the stage of recruiting a cofounder and more into hiring a great team of employees. The differentiation being less title and more the amount of equity. It sounds like you are selling a physical product so the question is whether you have built the capacity to scale. If not, the importance of having someone on your team who has done that at scale, even at the angel level of funding, could be helpful if not required. Happy to do a quick call and give you more contextual advice.TW
the startups.com platform
Copyright © 2025 Startups.com. All rights reserved.