October 8, 2008

Client Success

Just Another Day in Paradise: Good news at FundingUniverse, another deal funded and more to come.  Nothing gets us more excited than hearing that one of our clients got a check, and that’s nothing compared to the excitement they experience when they see the green.  Now just a reminder, raising money is not really about the money, it is what the companies can do with it that is exciting.

When, I see one of my clients quit their day job and start doing what they love and are passionate about, it really makes it all worth it.  Let me tell you a little about how it went, so that you can get an idea of how our engagements can go.  (Names have been changed)

  1. Joe, Mike and Pete have worked for four years developing some pretty impressive alternative energy,  Joe is an engineer with an MBA and Mike is a die hard engineer.  Pete is a business man that is well connected in the geographic market that represents their initial target.  Together they make a fine team and obviously they are committed to what they do or they wouldn’t work four years on a project while at the same time keeping their day jobs to make a living.
  2. The great thing about their deal, is that they came to FundingUniverse, already having developed their technology to a prototype stage, they had gotten some market commitments and they had really done the research.  Plus they had contributed sweat equity or got donated real assets and expertise to the equivalent of about 400k, which shows ingenuity and commitment.
  3. Basically this team needed help formulating their business documents, preparing to pitch and learning to network.  We spent about 6 weeks getting this done and then gave them exposure through a speed pitching event.  Within about a month of that event they had a check and are now moving forward with their plan.

This is just an example of the success that is experienced on a regular basis here at FundingUniverse.  Now I am not saying every engagement turns out this way, much of that depends on you as an entrepreneur. I will say that for those who have paid the price and need some help getting off the plateau and on to the mountain, we know how to get you there.

Comments from the client:

Funding had been the biggest obstacle to starting our business when we inquired into the services that Funding Universe offered.  At the very first meeting it became clear that we had been going about it the wrong way and needed to change course.  Funding Universe helped us refine our business plan and focus our efforts to find the right investors.  It took time but we were able to find the investors we needed and start our business even during a world financial crisis. The most important contribution that Funding Universe gave us was the ability to understand and approach investors, which helped us make the changes we needed to move forward.

May 24, 2008

SpeedPitching: Another deal Funded

It’s been a while since I’ve written about one of our Speedpitching events.  Last week, when we sent out an email announcing our upcoming event on June 4th (in Utah), we received an email response from one of our previous participants:

The first Speedpitch event that I participated in was wonderful – a terrific experience. The Speedpitch put our company in front of a lot of different types of angels, got us about a dozen follow-up meetings, as well as several term sheets. It was a great position to be it having to choose between competing funding offers – and I am sure that the Speedpitch event allowed us to be in that position. We have since raised close to $1 million through equity and licensing deals and we will be looking to grow to the next level very soon.

Can I tell you how much fun it is to get emails like that?  :)

April 28, 2008

Funding Films

I just read an article on TechCrunch about how the independent film “Artemis Eternal” has already raised $40k of the $100k total amount that they are seeking for the film project via “crowd-funding.” In other words, they are allowing the public to contribute as little as $1 to fund their film development and “cut out the middle man.”

This announcement is very interesting to me because we see so many independent films and we normally just turn them away (unless there is a special circumstance). There are very few companies that we turn away at FundingUniverse, but as of today, we don’t have any confidence helping films to get funding — they are just too high risk for the overwhelming majority of investors. To be honest, it is just a world that we don’t know very well and so we don’t feel comfortable helping film-makers.

Because of the demand and the pain in the market, we’ve thought a lot about dedicating a portion of our site to helping film-makers through the fundraising process, however, maybe we should just refer them to Artemis and learn how to raise “crowd-funding.” For those of you that have raised money for films, where did you go? We’d love to learn more about this industry.