What are the best financing options for scaling my business?
There are several financing options to consider, such as venture capital, bank loans, crowdfunding, and angel investors. What type of business do you have?
I run a tech startup. I'm looking for options that won't dilute my ownership too much.
In that case, you might want to explore options like revenue-based financing or convertible notes. These can provide capital without immediate equity dilution.
What are convertible notes?
Convertible notes are short-term debt that converts into equity, typically during a future financing round. They allow you to raise funds now while delaying valuation discussions.
Are there any risks associated with using convertible notes?
Yes, there are risks, such as potential dilution if the company’s valuation increases significantly before conversion. It's important to understand the terms before proceeding.
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