Startup Funding Espresso -- Driving Exits

Published: Oct. 13, 2021, 11 a.m.

b'Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing. In running an angel network, it\\u2019s important to drive the funded startups toward an exit. Investors funded the companies with an expectation of a return typically in the 5 to 7-year timeframe. While some startups will fail and shut down completely, most startups continue as ongoing businesses. It\\u2019s important to review the status of those startups to see what exit can be achieved. For those companies that continue to grow, the angel network can help the startup raise the next round of funding from venture capitalists. If the company has built value but not enough to raise additional funding, the angel group can help find a buyer for the assets of the company. The development team, technology, and product lines could find a home within another company. The secondary markets continue to thrive, and so there may be an option to sell the shares of the company to other investors.\\xa0 Many times the founders want to maintain the business as is and not sell it. The angel network could negotiate a buyout by the founders. If the company is generating a regular stream of revenue, they can set up a revenue share agreement to pay out the investors from revenue. It takes an active effort to pursue startup exits and there\\u2019s more than one solution. Consider setting up an exit committee with the goal of examining each investment to find a path out of the deal. Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.Let\\u2019s go startup something today. ___________________________________ For more episodes from Investor Connect, please visit the site at: \\xa0 Check out our other podcasts here: \\xa0 For Investors check out: \\xa0 For Startups check out: \\xa0 For eGuides check out: \\xa0 For upcoming Events, check out \\xa0 For Feedback please contact info@tencapital.group\\xa0\\xa0 Please subscribe, share, and leave a review. Music courtesy of'