The deal is only done when the money hits your bank account?
That’s it the post, you can end it there or read further if you have time to spare.
There are around 17 steps when you raise money for your start-up.
It’s a long tedious process of pitching, meetings, presentation, legal mambo jumbo(first time using this term), negotiating the term sheet structure, share splits, and more.
And throughout all that process, no matter how close or assured things may seem, the deal is never done until the money from the investor hits your bank account.
Humans came up with the money to avoid people giving a goat for wheat, we created money as a symbol of trust.
And the ultimate trust someone else can you as a founder and entrepreneur is their money.
They are saying we trust you to build this company or deliver a great product and service.
Continued…
Another important factor is to never stop raising, make sure that you’re COO has enough funds and resources to build what they have to.
Yours is to raise, theirs is to operate. So show that you have trust in them by giving them money to do their work.