Start up business loans

This article is here to address the number one question we get from the perspective of somone who has actually lived throught practically everystage of the process.

I have personally:

  • Started a company nights & weekends when I was working for another company to bootstrap the NEWCO
  • I have started company o friends and family money.
  • I have started a company with credit cards, because I finally had good enough credit to get a few cards.
  • I have taken Venture Cap.
  • I have currently a Private Equity company backing one of my current companies
  • I have self-funded some too….

Reality comes with good and bad news:


  • I Crashed a company and it cost me over $100k of my own money..
  • I have started companies with credit card debt, that never took off and lost my investment
  • I have taken money that has me beholding to another party


  • I have been able to pay the bills every year and put my kids through college
  • I have income coming in from business intrestes I have built over the last 20 years
  • I have more investments thanks to me business ventuers
  • I have the quality of life many dream about
  • I have soled 2 companies
  • I will sell another to a public company in the future

So all in all, it has been hard…you will lose probably more times than you will win…but the upside has defiantly out weighed the downside over the long run. So if your willing and able, it can be a crazy fun ride!

SO this all that said so you understand the perspective this has been written from, lets get to answering the questions I wished I would of had answers to before I knew to ask them!!!

How to fund my new start-up?

We can help you meet your goals and will provide ways to help you answer the following questions regarding the ways I have done it based on top questions.

  • How do I fund my start-up?
  • Start Up Loans
  • How do I pay myself?
  • Should I take a partner?
  • What is the difference between Angel Investors, VC, and Private Equity.
  • What is the difference between dumb money and smart money?
  • More to come as I have time, call me directly with questions 972-800-6670

Many people come to us with a great idea or concept but really no clue how to execute on their vision or they drastically underestimate how much it will take, how long it will take, or overstate their revenue and profit girth and velocity.

I will help anyone who is willing to be helped!

Founder Fierce CRO

How to fund a start-up?

I can not tell you how many an entrepreneurs have approached me with an idea asking for advice or direction regarding a new business, building a technology, launching a service….the list goes on and when I ask them how they are going to fund this great new business I get typically 1 or 4 answers:

  • I Am going to get a start up business loan!
  • I am going to raise money from investors!
  • I have $XXX in savings and will fund it myself.
  • I have raised ______ to get this started.

So no mater what the answer my next question is always:

How do you plan on spending your start-up money?

Most investors do not want to see more than 5% of the money raised going to paying the founders or owners of the company!

If you are using someone else money to start, grow, or fund a business you should not plan on asking for “funds to live” (FTL). We suggest you have 24-36 months of FTL on top of whatever you raise to start your new business.

I am writing this as I have time and thoughts and will flush it out in the future. If you have questions feel free to call me 972-800-6670

What is the difference between dumb money and smart money?

I can talk for hours on this, but if your looking for money your either:

  1. Feeling desperate
  2. Killing it, but need more money to “KILL IT MORE”

In either case understand money from a bank is neutral. It has no opinions as long as you can get it and as long as you pay your monthly payment. Any other money is going to fall into SMART OR DUMB.

What is “Smart Money”? This is a VC, PE, Angel who will give you money for consideration or value they feel fair. Some will want interest, some will want equity, many will want both but they not only bring you money to solve your money need they provide other value, like:

  • They have a similar business and it can give you leads…
  • They owned a similar business and are willing the help your business grow by providing leadership, knowledge or guidance…
  • They have invested in a business that complements yours and you can leverage some cross services like marketing, IT, Technology,HR,Office Space……
  • They belong to an investment group that provides support services at a discount

Any thing that makes them as much as an expert as you or mabey more in your space, so you do not have to spend your precious time educating them on the BUSINESS.


Just because they offer does not meant you should take it, no matter how great there offer is. What you might end up doing is taking money, and spending alot of it educationg the investor about your business, so you can valibate the money and you will have no time left to grow the business….

EVEN WORSE: the loan terms have provisions that allow them to make management decisions in a business they have NO CLUSE how to run.

EVEN WORSE: The react to a knee jerk circumstance that completely blows up the business you had before you even take their money…

EVEN WORSE: You get put in a position where you have to lay people off, trim back to meet repayments needs and the money actually strangles you…

EVEN WORSE: You are put in a position where it is just better to sell out or give up…

EVEN WORSE: They have more money than you, so if you give up you will be paying them back for the rest of your life and not even running the business you started and are forced to do something even different because your no-compete will not allow you to do what you have done forever.

The morale of the story is you have the right to ask questions, and if you don’t you might end up not knowing what type of money you have taken until it is too late.

What questions should you ask an Angel, Venture Capitalists, or Private Equity firm before you take their money?

  • Are you a Accredited Investor, Family Office, Angel, Venture Capitalists or Private Equity firm?
  • What other deals have you done?
  • Can I get a referral from those other deals?
  • How are they going to help my business?
  • How much time are you going to invest once you give me money?
  • What reporting metrics are you going to expect from me once I take your money?
  • What would it take for you to want to sell my business?

Very Technical Questions you need to ask your potential Angel, Venture Capitalists, or Private Equity firm before you take their money, and make sure you FULLY UNDERSTAND!!!!!!!

  • Do you expect a PUT OPTION? (This is where they can put in as much as they want when they want-could be very dangerous…especially if you take off quickly and get interested from larger players…MONEY GUYS SEE DOLLAR SIGNS!!!)
  • Come Along…if they want to sell do you have to come along and what is the tipping point or trigger?
  • What happens if the business does not grow, and your interest outpaces projected growth?
  • What is the max I will be paying for closing documents, or what is my share? often times they will want ti to finance them into the deal, but that could be $100k in long term debt you weren’t expecting!!!
  • I have a checklist of 60 items if you would like them just give me a call 972-800-6670

What to ask the Investment banker or Broker doing the deal?

  • Hoe many deals have you done?
  • How many in my space?
  • How do you get paid?
  • What happens if you leave, who do I get as my new point of contact?
  • Who is at the TOP OF YOUR FOOD CHAIN?
  • Where did the money come from? (There are very shady money people, that got their money from shady deals…these could bring you down…so look past the shine and expensive suite)

The secret handshake

Money is a business and many people play in a space are connected by different:

  • Groups
  • Funds
  • Graduate Schools
  • Fraternities
  • Brokers or money at the top
  • Association

….the list goes on, and so you think your talking to one group but in fact you have been caught into a web of players in the money space, and all I can say is “WATCH FOR THE SECRETE HANDSHAKE” you will see something. If you just know to watch, and you will go AHHHH..I get what he is saying.

  • It might be a introduction to a vendor or other group?
  • It might be something like, DO YOU HAVE A ________? O no, well I use…!
  • It could be as simple as an actual physical clue, like MY ROOMMATE IN MBAD SCHOOL IS A __________
  • You might see CC on emails that make you think?
  • You might be invited to a group, or mixer where they all stalk you afterwards

Just know there is a whole industry out there who play in the MONEY space and they are all very polished, and impressive. You can get snagged by them and they know once you get money…they want some of it!

This is probably alot, but people have been saying my experiance is very unique and would be very valuable to other so I should write a book. AS YOU CAN SEE IM NOT A WRITER, but I do wish I knew some of this stuff before I comitted to my first $15M deal!

Good luck, if I can help in any way let me know.

Before you take money, i would like to give you an option that might work for you. this only works if somw of your money will be going to:

  • Technology
  • App developement
  • Sales Business or one that needs leads
  • Service Business wanting to expan nation wide
  • Insurance
  • Your money will go toward AI
  • Any thing in the BioTech space
  • Web developement, Marketing and Advertising are needed as pat of your money requirements.

I have a very narrow lane to work in, but can potentially be a “SMART MONEY” alternative for the right group.