Myths and Misconceptions
where do entrepreneurs get funding from?
Friend, family and sometimes small businesses
what is seed capital?
Money raised to start forming the business
what is customer acquisition cost?
The total expense a company incurs to gain a new paying costumer.
what sparks ideas that come to life?
‘Intrinsic Joy’ Sparks Ideas Better than Cash.
The money that is funded first, usually coming from the founder?
what is seed funding
True of false, start up entrepreneurs have years of experience?
false
what is angle investment?
Money from wealthy people in early startup stages.
what is chum rate?
the percentage of customers or subscriptions lost over a specific period.
how can you come up with something new that helps everyday lives?
You can use ideation, coming up with multiple ideas for many problems, successfully implementing them and putting them to test.
The method Collects money from a big group of people, Usually at the same time and in small amounts?
what is crowd funding
entrepreneur would rather have this before making a business plan?
what is product validation
what is pre-seed funding?
Early stages of investment for a start up.
what is lifetime value of a customer?
the total monetary amount a business can expect to earn from a single customer over the duration at the company.
what is innovation?
It's a process that guides businesses through developing products or services that deliver value to customers in new and novel ways.
private equity financed tp startups, by firms, that show high valuation?
what is venture capital
true or false, entrepreneurs take un-calculated risks and make rash decisions?
false
what is A series funding?
The first significant equity financing round for a start up.
what is runaway in startup terms?
The amount of time a company can operate before it runs out of cash.
how do you think innovation will change the world in the future?
Innovation will change the world in many ways, I'd say technology will be a big factor as well with medical breakouts. Innovation can change the world with just a random thought in mind. It just needs to be honed in and put energy into that idea. Great things will come.
the common way of financing refers to using individual funds or family and friends gifts?
what is bootstrapping
This entrepreneur started his company with a 10 million dollar venture?
who is no one
what is start up capital?
Initial money needed to start and operate a new company before it can bring in its own revenue.
what is bum rate?
The speed at which a company uses its cash reserves.
what does the innovation process look like?
The process starts out with understanding the problem, like einstein said think about the problem longer than solving it. Then explore your solutions and implement them to life.
an individual with a high net worth who invests in high risk startups?
what is angle investor