Tag: Investment

Learnings

When pitching to an investor, do not ask them for money, ask for advice

Chris Labs

Tell the investor you’ve been pursuing an opportunity, and explain the momentum that you have. Tell them that you’ve run into funding challenges. Tell them that you want to place larger inventory orders to serve your growing audience. Then tell them how much money you think you need. Finally, ask them, “How would you fund the growth of this business if you were me?” Asking for money puts people on the defensive. Asking for advice opens them up. Watch how fast money shows up. -Ryan Daniel Moran, 12 Months to $1 Million, p.67 Continue reading When pitching to an investor, do not ask them for money, ask for advice

Learnings

What is it you are attempting to achieve here? You are trying to become rich.

Chris Labs

This must be the main focus of your business life. Becoming rich. Not becoming one of the world’s most famous athletes, or taking on Rupert Murdoch in the newspaper publishing and television business. You want to get rich rich. And you want to do it legally and as quickly as you can. “And so I became a magazine publisher. That was OK, but I forgot to keep my eye on the ball. The ball was to get rich. Instead, I decided to become one of the world’s best magazine publishers. Not smart. Why wasn’t it smart? It took me way … Continue reading What is it you are attempting to achieve here? You are trying to become rich.

Being CEO

Don’t offer shares in the business to employees.

Chris Labs

Ownership isn’t important, it’s the ONLY thing. Risk equals reward. “An honest day’s work for an honest day’s pay” is not risk-taking. If you work in my business, I’ll pay you fairly, try to make it a great place to work in, incentivize you if it makes sense for the company to do so, contribute to your pension, perhaps contribute to your health care and the health care of your family, teach you to grow your skills and thereby improve your personal net worth, ensure you have paidvacations, ensure you are not bullied or in any way discriminated against, and … Continue reading Don’t offer shares in the business to employees.

Learnings

You have a partner? Remember to include The Mexican Shootout

Chris Labs

In the Articles of Association of a company, both sides agree to insert a clause that governs serious disputes. If the dispute cannot be resolved, then the following takes place: Each side in the dispute, each shareholder who wishes to participate, considers carefully what they would be willing to pay for the whole company. It doesn’t matter how many shares they own, but they must have access to the sum they have indicated, less the worth of their own shares valued on an equal basis. The parties then go to a neutral layer or professional on a certain day and … Continue reading You have a partner? Remember to include The Mexican Shootout