Best Practices for including funds from "friends & family"

by a professional from Cornell University

2 years ago

Does anyone have any best practices to share from raising capital from both investors and "friends&family"? Any common pitfalls to avoid?

Always hear to avoid mixing the too but it seems like an easy way to plug any capital raise gaps. Curious about people's perspectives and experience with this.

3 likes
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7 comments

investor from Northwestern University - Kellogg School of Management

Friends and family who want to invest in you serves as a good signal to investors who don’t really know you. If you’re doing a traditional search, make sure you’re aligning the number of units you’re selling to your friends and family with how much they can write into any deal you find.

2 years ago | like reply | 0 likes

searcher from Escuela de Ingeniería de Antioquia

Investigate them before contact and trial and error. Learn from your own mistakes is a must.

2 years ago | like reply | 0 likes

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