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Six Considerations When Receiving Funding from Strategic Investors
In addition to pursuing independent venture capital firms, entrepreneurs and business owners often seek funding from the "in-house" venture capital arms of large companies. Receiving funding from the likes of an Intel Capital or Comcast Interactive Capital does have its advantages. First, in today’s tighter capital environment, increasing the number of sources you pursue for capital makes sense.
Second, obtaining funding from strategic investors can offer a certain credibility and validation of a emerging company’s technology and/or business momentum. Third, the strategic investor could become a purchaser of the company’s products and boost sales further by plugging the company’s products through its distribution channels.
by David Wanetick
Full Story: https://www.axialmarket.com/blog/2011/02/pros-and-cons-receiving-funding-strategic-investor/
(Many thanks to Al Jones for recommending this article)
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