Startup Station Blog

Finance & Strategy | Early Stage Startups | Company Valuation | ICOs

What Do Investors Look For?

Investors don’t invest in products. They invest in businesses and, specifically, those businesses that have the potential of making them the most money. Some investors may have additional objectives such as to support women-founders or to invest in green technologies, but they are still primarily...

READ MORE

You Have An Idea, Now What?

You have an idea. You are excited. You can’t wait to start. But before you pour all your energy, time, and money into it, you first must evaluate its viability. More specifically, are you really solving a problem that needs be solved, and is your solution actually better than others that already...

READ MORE

The Impact of Valuation on Your Equity Stake

Many startup founders don’t fully understand why it is important to have a company valuation, especially at an early stage. We demonstrate how a company valuation affects the amount of control you, as a founder, are going to have and how much money you end up making in case of an exit with a help...

READ MORE

Five Reasons Why A Startup Needs A Financial Model

“Why create financial projections when it is all a guess?” That is a question I hear all too often. Many entrepreneurs and small business owners have trouble making estimates and reducing the uncertainty in which they operate to a limited set of variables within a structured model. Their mistake...

READ MORE

How To Value Early Stage Startups

There are two valuation methodologies for early-stage startups - qualitative and quantitative. Method #1: Qualitative Approach All qualitative approaches are based on some sort of scorecard. Each scorecard has its own unique set of attributes. Every attribute has a monetary range assigned to it...

READ MORE

Which Investor Is Right For You?

Not every investor is the same and choosing the right investor is critical to your company’s success. All investors can be categorized by three criteria: An investment amount The level of involvement The investor’s role in a company An investment amount All investments fall into one of...

READ MORE

How To Manage Your Time Better

As a startup founder, time management and priority setting are very important. There are many things you need to do every day and at times it can be overwhelming to decide what to do first. These four steps will help you better understand where you should focus your efforts. Step one: Formulate...

READ MORE

Five Things To Never Say To Investors

1. “I have an amazing idea” Every entrepreneur believes that his or her idea is amazing. If you don’t, why even bother starting a company? However, instead of simply stating that your idea is amazing, you should prove to investors that it is. You can do so with a well thought out business plan,...

READ MORE

Who Should Get Equity And How Much?

Determining how much equity to give co-founders or contributors is not easy. On one hand, you want to fairly reward people for taking the risk, believing in you and helping you build your company from scratch. On another, you want to create the right incentives and only offer equity to those who...

READ MORE

Startup Financing Stages

There are five main financing stages that startups go through on their fundraising journey. First Stage: Friends and Family This round is raised by people who know you personally. You use this capital to prove that your idea is viable and to build a minimum viable product (MVP). Even if you...

READ MORE