Cash is king.
—Angel Investor Philosophy
Introduction
If you have the money, you can have the control of the company and make the product sell. One of the biggest killers of startup companies is they simply run out of money.
The CEO has control over the finances, but they are not usually managed properly. As investors, we repeatedly see CEOs underestimate their cash flow; this can causes delays in product development and an inability to pay weekly salaries. Entrepreneurs underestimate the amount of time required as well as the amount of cash necessary to achieve their goals and timelines. Most investors need to support their portfolio companies with bridge funding for the company to hit their milestones.
Many entrepreneurs, ...
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