Scouting for an investor to inject funds in your company? Okay, but before you sign up, take out some time to figure out exactly what kind of a funding option will suit your business, and your temperament.
The right kind of financing model for your start-up could make all the difference between success and failure, and it is worth the while to thoroughly examine the options and make a well-informed decision. Depending on the scale of your business, you can opt for private equity, or seek an angel investor, or go for the big guns - the venture capitalists. Each of these investors will behave differently and exercise different levels of control over your company. Here's a look at how these investors operate, and the pros and cons of seeking funds from them.