capital raising Archives - Page 3 of 3

Brick walls

Posted on February 18, 2008 by Steve Sammartino

We were told that our business was a great idea. A super concept.

So we went for it.

Then we started work on the blue prints, and they looked great. Everyone said it was a sure thing.

So we built it.

Then once it was built everyone was in awe of how we took it from concept to reality. They told us we we’re sitting on a gold mine of potential, they starting asking us what life would be like when we made millions, if we’d still be their friends!

So we marketed it.

Then all new and potential customers loved it and told us how they’d buy it and tell everyone. sell it for us and keep coming back for more.

Then we realized there was a lot of brick walls between enthusiasm and reality. A lot of brick walls between a great idea, and that great idea becoming a great business.

There was a lot of brick walls. Walls which were hard to climb. Walls that almost ‘consumed us’ to the point of forgetting the easy, early days of enthusiasm.

These walls are put here to test us. They are asking us if we really want it. They are in fact our best friend. They make climbing over hard, and keep the pretenders out. Those who don’t really want it (maybe competitors?)

We ought thank the walls.

Perspective – internet boom 2.0 ?

Posted on February 13, 2008 by Steve Sammartino

There’s been a lot of talk lately about an ensuing second internet boom. With the billion dollar sales of many web 2.0 companies it’s easy to see why:

$15.1 billion

$2.6 billion

$100 million

$6 billion

$3.1 billion

$1.7 billion

$60 million

Among others…

To give a little perspective the Nasdaq composite index peaked in the year 2000 at 5132 points. Yesterday it closed at 2320, just under 8 years later.

If you invested $10,000 at the peak, today it would be worth $4521. Still a very bearish 55% capital loss.

Sure we’d have to question some of the valuations, but the market hasn’t started to value ‘ideas’ at over a billion – yet.

Start up lesson – your company is worth what someone is prepared to pay for it.

Forget the answers

Posted on February 11, 2008 by Steve Sammartino

In life, no less entrepreneurship, the questions are often more important than the answers.

What start-ups can learn from terrorsits

Posted on February 8, 2008 by Steve Sammartino

Extending on one of my favourite strategy topics – terrorism, click on the little Al Qaeda dude below to read my latest Australian Anthill rant!

Enjoy!

Have an opinion

Posted on February 5, 2008 by Steve Sammartino

Quite often it pays to be malleable, especially in a corporate environment. The powers that be only want to hear about incremental improvements that build on the status quo. Not change it.

Once we leave and get out there on our own. We must make sure do this:

Have an opinion, create change and go beyond the incremental.

Money follows ideas

Posted on February 2, 2008 by Steve Sammartino

Lacking the cash to commence a start up is a misnomer. There’s so much cash floating around western markets at present that the owners of this cash simply don’t know what to do with it.

All money in the world resides somewhere based on an idea. Let me explain:

Money in your wallet – based on the idea we’re going shopping, will need cash for lunch or maybe just for an emergency.

Money in the bank – based on the idea we’ll need it at a later date for something more significant and want to save it for this future transaction

Money in shares – based on the idea that this companies fortunes are improving and the money will grow and provide us with dividends and or a capital gain.

Money loaned to us – based on the idea that we can use this money to create something of bigger financial worth than the original loan and the cost of interest repayments.

All money follows an idea. Sometimes both parties profit. Sometimes one party profits, sometimes we all lose. But the thing which there is no doubt about, is the fact that money is out there for any idea, any time.

If our start up is that idea we ought chase it and give that idea the money it deserves. The better the idea the greater the chance of accessing the money.