J&J Article 019: Investor’s Dillema: To Invest or Not To Invest
Words by: Jeorge Wieneke
In recent days, I’ve found myself pondering a question that many entrepreneurs encounter at some point in their journey: Should I bring an investor into my company? The answer is far from straightforward, and it’s a decision that warrants careful consideration.
Here are some thoughts and considerations that I’d like to share:
Do you truly need an investor? The decision to bring in an investor should be driven by a genuine need for capital to support your expansion plans. Don’t rush into it simply because someone expresses interest.
Assess your financial needs. Before diving into any investor relationship, have a clear understanding of how much funding you require to execute your expansion plans effectively. Be specific about the numbers.
Are you willing to be a minority owner? Understand that most investors will initially promise you a free hand and full control. However, it’s essential to be prepared for the possibility that their personal interests may eventually diverge from yours.
Will the investor go the extra mile? Consider whether the potential investor is willing and capable of providing support and resources when things don’t go as planned. A committed partner can make all the difference during challenging times.
The love of a founder versus an investor. Remember that the passion and dedication of a founder are inherently different from those of an investor. Your vision and connection to the company may not align with their financial interests.
Protect your concept. Be cautious about scenarios where an investor could gradually reduce your ownership stake to the point where you lose control over your own concept. Ensure that any agreements are equitable and protect your interests.
Seek investors with a proven track record. Look for investors who have a history of building successful ventures driven by a genuine passion for the company’s purpose, not just a desire for financial gains.
Don’t be starstruck by potential investors. While it’s natural to feel flattered and excited, remember to use your intellect and discernment in evaluating potential investors. Make a decision that is grounded in sound judgment rather than solely based on the allure of a high-profile investor.
In the end, the decision to bring in an investor is a critical one that should align with your long-term vision and values. It’s about finding the right partner who shares your passion and can contribute meaningfully to your journey. 🚀💡
Disclaimer: Image CTTO
More stories via 💬 https://thenewchannel.com/highlights/
To see what’s NEW, visit 🌐 www.TheNewChannel.com
#onTNC #TNCNow #JandJ #InvestorsDillema #InvestorsDecision #ChooseWisely #IdeasToReality #InnovationJourney #Entrepreneurs #Entrepreneurship #FYP #ForYouPage #TheNEWChannel #WatchTNCNow #AllThingsNEW