John Grossman, writing in the NY Times blog, recently related the story of a cash poor entrepreneur who was trying to decide if she wanted to turn over 75% of her company in exchange for $250,000.<\/p>\n
This is a question we hear all the time. We liked John’s article, but there were a few key questions that none of the respondents touched upon: did the entrepreneur like the potential investor? Did they dicsuss how they could or would work together?<\/p>\n
Did the potential investor have a successful track record of working with the management of the companies in which he invested?<\/p>\n
Too often we see entrepreneurs turn over control to investors that they can’t work with, and they wind up functionally\u00a0out of the company.<\/p>\n
The bottom line is don’t give up control to someone you can’t work with. There are other investors out there.<\/p>\n
The link to the blog: http:\/\/boss.blogs.nytimes.com\/2013\/0102\/should-a-cash-poor-entrepreneur-give-up-control-to-keep-her-startup-alive<\/a><\/p>\n <\/p>\n","protected":false},"excerpt":{"rendered":" Don’t give up control to someone you can’t work with Continue reading