If you’re an entrepreneur thinking about raising venture capital today, odds are you realize this is one of the most difficult funding environments in decades. The venture capital industry has been in a deep funk for nearly two-and-a-half years, and many venture firms are shutting down as their limited partners are cutting off the flow of capital.
But strong entrepreneurs with highly promising ideas aren’t doomed. There’s still venture to be found.
A medium-sized venture capital firm (like Allegis Capital with approximately $500M of capital under management today) looks at roughly 1,000 deals a year and backs 6 to 8 of them – or less than 1 percent. If you’re pitching venture capitalists in this category, remember that they are looking for opportunities that have the potential to generate a significant return on their investment. In general, that means a company that has the potential to become at least a $100M company.
To read the full, original article click on this link: 7 ways to raise venture capital in a down market | VentureBeat
Author: Robert R. Ackerman Jr.