Whether you’re asking for a loan or an equity investment, the sensitive and personal nature of your relationships with friends and family require you to approach them differently than you would angel investors or venture capital firms.
In the video below, Jon Lawrence, CEO and co-founder of Yottio, describes what you should be aware of before approaching friends and family for business purposes. From being completely honest about risks, to documenting every step of the transaction, see how to professionally approach friends and family without ruining your personal relationships.
Once you’re done seeking investments from friends and family, angel investors are the next equity funding source you’ll turn to. If your business continues to thrive, venture capital firms are a lucrative funding source that can propel your company to the next level.