How To Validate the Startup's Potential

Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing.

Investors considering funding a startup should test the startup's potential.

Here are some key techniques for evaluating the startup.

Try to sell the startup's solution to a potential customer.

Gauge their reaction to the product and its price.

If accepted, then this validates the value proposition of the company.

Assess the challenge in selling the product.

Promote the product or service to one's social media network.

Gauge the response to see how many would and would not buy the product.

Check the company's need for funding.

Is this a critical step, or is it a nice-to-have to help accelerate the growth?

If they must have funding, check with other investors about their interest in investing.

If no one would invest, then fundraising will become a stumbling block.

Check with other companies in the sector to see how the company compares on traction, team, and position.

If the company compares favorably with other companies in the same industry, then it may be a worthwhile investment.

Consider these steps in validating a startup's potential to succeed.

Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.

Let's go startup something today.

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For more episodes from Investor Connect, please visit the site at: http://investorconnect.org

Check out our other podcasts here: https://investorconnect.org/
For Investors check out: https://tencapital.group/investor-landing/
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Regulatory Around the Fund Manager

Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing.

There are regulations around the fund manager.

A fund manager is considered an investment advisor, which is defined as anyone who provides advice to others regarding securities in exchange for compensation.

VC fund managers must register with the SEC unless they qualify as an exempt reporting advisor.

They are not required to report if they do meet certain asset requirements.

Assets under management less than $25M register with the state rather than the SEC.

Assets under management from $25M to $110M may register with the state or the SEC.

Assets under management greater than $110M must register with the SEC.

Fund managers can be classified as an exempt reporting advisor (ERA) if they solely advise private funds and the total assets under management are less than $150M.

The Venture Capital advisor exemption is for fund managers who solely advise venture capital funds.

They can raise an unlimited amount of capital.

Consider these regulatory rules for your fund manager.

Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.

Let's go startup something today.

_________________________________________________________

For more episodes from Investor Connect, please visit the site at: http://investorconnect.org

Check out our other podcasts here: https://investorconnect.org/
For Investors check out: https://tencapital.group/investor-landing/
For Startups check out: https://tencapital.group/company-landing/
For eGuides check out: https://tencapital.group/education/
For upcoming Events, check out https://tencapital.group/events/

For Feedback please contact info@tencapital.group

Please follow, share, and leave a review.

Music courtesy of Bensound.

On this episode of Investor Connect, Hall welcomes Al McGregor, COO of Perfect Energy, Inc. & AgroEnergy Farms, Co. Through Perfect Energy in Colorado with partners in Texas, Al connects solar and wind generation to practical commercial and agricultural use, arguing renewables and fossil fuels must be balanced to preserve fossil fuels for hard-to-electrify needs like big trucks and airplanes.

Through Agro Energy Farms, he focuses on helping small farms by turning underused land into productive assets with on-farm solar and small wind, controlled-environment greenhouses, and hydroponic systems that can save up to 80–90% of water while producing 10–15x more per area, even in extreme cold and high altitude; he also discusses bees for pollination and more natural pest control. Al shares that financing is a key barrier, notes solar can cut electricity costs 20–30%, points listeners to "growing spaces" and other hydroponics resources online.

Visit Perfect Energy, Inc. & AgroEnergy Farms, Co at www.perfectenergy.us

Reach out to at www.linkedin.com/in/almcgregor and on almc@perfectenergy.us

________________________________________________________________________

For more episodes from Investor Connect, please visit the site at: http://investorconnect.org

Check out our other podcasts here: https://investorconnect.org/
For Investors check out: https://tencapital.group/investor-landing/
For Startups check out: https://tencapital.group/company-landing/
For eGuides check out: https:/_/tencapital.group/education/
For upcoming Events, check out https://tencapital.group/events/

For Feedback please contact info@tencapital.group

Please follow, share, and leave a review.

Music courtesy of Bensound.