Hi

I'm going to get people to invest in my company, but most of the people I talk to love to ask 1001 questions before they can even show me any money.

I understand that it's normal to ask before they invest, but how do I ensure that I'm not giving too much info before that person really becomes a shareholder.

What kinds of questions I should not answer until they are already a shareholder?

If you wanted me to invest in an enterprise, and then refused to give me all the information that I wanted, there would be a rather quick exit from the sales spiel on my behalf...

Bit of a catch 22 isn't it. Trick is to make sure the key, proprietary information or "hook" to the enterprise cannot be easily copied.

If you are really that concerned, ask them to sign a Confidentiality Agreement.

A lawyer can draw one up for you.

Also, it depends on how much you are seeking: 1) in total; 2) from each investor. If its a small amount and your "overall" business plan and knowledge of your market is sound, it shouldn't be too much of an issue, however, IF you haven't produced a detailled business plan and/or are not fully aware of your market or potential market, no one in their right mind would want to invest.

There are a lot of opportunities out there....so the competition for their funds is strong.

Frankly, you may find it simpler just to borrow from a bank.

... or get them to sign a legally binding non-disclosure agreement. We use them all the time when discussing business-sensitive issues with clients and investors.

So you basicaly want people to give you money without asking questions and trust you but for you not to trust them. GOOD LUCK in finding lots of fools You are going to need it

You should be able to find a copy of a confidentiality agreement (non-disclosure) somewhere on the net. I have in the past. Then modify it to suit if necessary. But like any legal doc you then have to be prepared to go to litigation if you later find they have used the idea (cost and burden of proof that it was really your idea)

Maybe you need to ask them a few question to qualify them first, but they will be reticent to say much as they will be just as suspicious as you or more so.

Unless you are flogging herbal slimming tea then I would start with a change of Thaivisa handle

1) Have them sign a NCND (Non Competition Non Disclosure agreement) then you can tell all.

2) Uhhh business plan? You better have one with a good exec summary.

3) Stay positive.

Hi

I'm going to get people to invest in my company, but most of the people I talk to love to ask 1001 questions before they can even show me any money.

I understand that it's normal to ask before they invest, but how do I ensure that I'm not giving too much info before that person really becomes a shareholder.

What kinds of questions I should not answer until they are already a shareholder?

Would a bank ask questions ?

You are asking people to invest so called risk/venture capital into a business of which they and YOU don't know yet if it will be successful or not. They are entitled to ask every single question BEFORE they invest.

If you are not willing to answer you will not be able to start up in the first place.

YOU ask for trust in YOU but YOU do not trust the possible investors....

Look in the mirror and start asking questions to yourself.

LaoPo

Hi

I'm going to get people to invest in my company, but most of the people I talk to love to ask 1001 questions before they can even show me any money.

I understand that it's normal to ask before they invest, but how do I ensure that I'm not giving too much info before that person really becomes a shareholder.

What kinds of questions I should not answer until they are already a shareholder?

Would a bank ask questions ?

You are asking people to invest so called risk/venture capital into a business of which they and YOU don't know yet if it will be successful or not. They are entitled to ask every single question BEFORE they invest.

If you are not willing to answer you will not be able to start up in the first place.

YOU ask for trust in YOU but YOU do not trust the possible investors....

Look in the mirror and start asking questions to yourself.

LaoPo

You talking to me ?

Hi

I'm going to get people to invest in my company, but most of the people I talk to love to ask 1001 questions before they can even show me any money.

I understand that it's normal to ask before they invest, but how do I ensure that I'm not giving too much info before that person really becomes a shareholder.

What kinds of questions I should not answer until they are already a shareholder?

So long as you're dealing with legitimate investors there are no questions that you should not answer- you are pitching to someone who will be your intimate business partner in future and you need to start on day 1 with real transparency. Forget NDAs- they're difficult to enforce and investors will often refuse to sign them as they hear so many ideas every day.

The important factors for the investors to make their decision are the strength of your business plan (you have created one, right?) and your capability and attitude. Starting off by telling investors that you can't tell them this and that is a sure-fire way to turn them off.

a) have them sign a non-disclosure agreement

provide a packet of information that will most of these questions answered

c) find a better place to ask about this than thaivisa lol