Venture Raising Capital Consultants and Con Artists

How can you spot a Venture Capital Consultant con-artist; that is to say someone who will help you and your concept get the money you need who is not an outright scam-artist? Well there are many ways actually and you must be careful first of all to see that this guy who promises you that he will get you funded and be a go-between for you and your Venture Capital connection has actually done it before.

Ask for references and make sure he understands your concept and the industry, if not then he will not be able to answer the questions of the Venture Capitalists or catch their ear. If the venture capitalist consultant is familiar with your industry then they should take all the industry trade journals and know your industry extremely well. Otherwise the Venture Capitalists will quickly show him the door. Wouldn't you?

Yes and too that point maybe you should show him the door too before you pay someone $50,000 on a wing and a prayer to help you find that 5-10 million or more you need to start your company. Recently, I talked to someone who was doing a little haphazard promoting to see if he could find some funding for an interesting logistics concept. Turns out the guy had no clue whatsoever about the industry or the technology.

I immediately felt sorry for whichever company or individual paid him to help them get the venture capital financing. Just do not make me feel sorry for you too. I certainly hope this article is of interest and that is has propelled thought. The goal is simple; to help you in your quest to be the best in 2007. I thank you for reading my many articles on diverse subjects, which interest you.