Sweet and Sour of Investing: Dos and donts of making the deal

Published: April 18, 2012, 7 a.m.

Wow! You\u2019ve got an amazing idea for the game-changing new product of the century. But no money to bring it to market. What to do? Start by begging for seed money from your FFF circle (family, friends and fools). If that fails, cast your hopes heavenward for an angel investor with start-up capital. Or, if you\u2019re dreaming big, find a venture capitalist with millions to invest in your potentially high-growth idea. Sound simple? Not so much. Your road ahead is paved with decision trees and gotcha traps. \u201cPicking the right investor is one of the most crucial decisions for an entrepreneur. If you thought getting married is a commitment, try raising money,\u201d cautions SAP Ventures\u2019 Gaurav Tewari. Sand Hill\u2019s MR Rangaswami, a long-time angel, offers an election year analogy. \u201cCEOs of startups and politicians have one thing in common \u2013 they are perennially raising money!\u201d Pour a cup and join us for food for thought on the Sweet and Sour of Investing: Do\u2019s and don\u2019ts of making the deal.