In the third quarter of 2016, nearly $600 million was invested in 45 digital health startups alone. That’s a lot of dough, but money isn’t the only necessary ingredient when it comes to cooking up a successful startup.
Entrepreneurs from Nigeria to Palo Alto dream of welcoming top angel investors and world-class venture capitalists to their cap tables. But an investor should represent more than an overflowing purse.
What entrepreneurs really need are investors who will be true partners — who’ll contribute a wealth of non-asset value and can fundamentally impact a company’s trajectory.
The search for the right investor, then, should be about much more than dollar signs. Before bringing anyone on board, you need to understand how this person’s skills and resources will align with your company’s goals and vision. So, don’t jump in blind. Recognize that a big check equals a big commitment and that taking money from an investor before thoroughly vetting him or her is like getting married after…