So you’re thinking about raising capital?

As a seed stage business, it is often tempting to raise money to give you business a kick start. More money means more options, right? What experts such as Mark Suster believe, as well as myself, is that there is a fine line between enough capital and too much capital.

As a seed stage business, it is often tempting to raise money to give you business a kick start. More money means more options, right?

What experts such as Mark Suster believe, as well as myself, is that there is a fine line between enough capital and too much capital. Especially in the seed stage.

Think about it this way: Let’s treat the capital as rocket fuel and your business as a rocket. 

If you add too much rocket fuel and light it up, it’s going to move incredibly quickly in the direction it’s aiming.

As a seed stage business you don’t really know where to aim it. To use an analogy of Stuart Cook’s: Your business is like a kid that doesn’t know what they want to be when they grow up.

If you take large investment you will:

Not everyone needs seed capital.

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