Every dollar raised has strings attached

When we raise money from an investor, we are really bringing on our new boss. # # # # ## [Listen Now]( [f2f2d1d3-b412-4ff7-830b-e327423f0139.png]( [48d37001-729b-494b-a401-4e269f2be21e.png]( [97243955-52d1-4b6d-88e9-0d9743c4e5db.png]( [b301c010-0789-40c8-bd5f-0a46322dc004.png]( The moment we take on an investor, we just hired our own boss. There's really no way around it. It doesn't matter how much equity we give up or how we structure the deal. The moment we owe someone money, the dynamics change. People don't tell us that when we raise money, but if we've ever raised before, it becomes painfully obvious. The vast majority of capital raised places all of the flow of capital (and the control provisions that come with that capital) in the hands of the investor. Once that's signed, it's nearly impossible to undo. Those controls are what having a boss is all about. Being the Founder, or the CEO is only as valuable as what that title controls. The equity we give up isn't just a number — it's a power exchange. We give up the power to make unilateral decisions — forever. Often we'll rationalize that by saying things like, "Well, it probably makes more sense to have an extra pair of veteran eyes on these key decisions." And that's true — when we mostly agree with those decisions. But what about when that decision is to fire us? Are we excited about the extra voice then? What if the decision is that we won't sell even though it's great for us, but not for investors? Are we excited about giving up the power then? Every dollar raised comes with strings attached. Subscribe now and listen for new episodes every week. [Apple]( [Spotify]( [Stitcher]( [TuneIn]( Work with a world-class startup coach (virtually) Building a startup is ridiculously hard — and you don’t have to do it alone. Our team of experienced Startup coaches is here to partner with you to help navigate this exciting journey. From idea validation all the way to funding, our time tested process has helped a multitude of companies go from initial idea to thriving startup — Our coaches have helped launch ideas in the thousands, acquire customers in the millions, and raise over 500M in investment capital. We only hire coaches with outstanding experience, measured empathy, and enthusiasm. Learn UX from a former head designer at Airbnb, talk logistics with an operations leader at Uber, or dig into your CRM with an early investor at Salesforce. We know what needs to be done to move to the next level with a startup, and we want to coach you through that; meeting every two weeks to hit each milestone with a coach specifically matched to your startup's needs. [Click here to register]( and take the guesswork out of what to do next. We’ve been through it all — and we are ready to use our expertise to guide your startup where it deserves to be. © [Startups.com]( Startups.com · 1322 Manning Pkwy · Powell, OH 43065-1100 · USA. [Unsubscribe]( You received this email because you are subscribed to emails from Startups.com. If you prefer not to receive emails from Startups.com you may [unsubscribe]( . Startups.com 1322 Manning Parkway  Columbus OH 43065 USA You received this email because you are subscribed to emails from Startups.com.