Early Stage Business
Early-stage businesses face many challenges. While the upside presents a
tremendous opportunity for everyone involved, these companies nearly always need capital.
After starting her early businesses
in the 1980’s on the proverbial shoestring, and funding them out of cash flow, Rebel Holiday became intensely aware
of the need for capital. She was determined to find the answers to the questions most entrepreneurs ask, “How can I
get the capital to start this company?” “How can I grow without losing control?” “How can I plan when
I don’t know how much money I can attract?” “How can I attract talented management?” and “How
can I build value for my shareholders and give them a good return?”
While there are answers and solutions for both
early-stage companies and the investment community, they are complex. Early-stage companies with revenues under $2 million,
must strive to establish a credible valuation and develop meaningful milestones to attract capital. Investors now need more
information to identify the companies with the highest potential. Yet this process will continue due to the tremendous potential
of the private equities market.
Early Stage Venture Capital
In the aftermath of the Entrepreneurial Explosion, traditional venture capital
is virtually non-existent for start-ups. Yet naturally, many investor groups and venture capitalists still want to capitalize
on small business growth. Most are still trying to find companies that can be identified as “sure bets,” however
few have been able to “crack the code” on investing in early-stage companies. There are good reasons for these
challenges. Since 1997 Rebel Holiday has worked with a team of experts to develop solutions to typical
venture capital problems.
It takes money to raise money. Now there are several
private venture capital firms that use this win-win model and provide short-term bridge loans to early-stage companies. Expert
service providers structure and plan growth in phases. In exchange, these funds acquire a small amount of stock
in seed stage, high-potential companies from diverse industries. The goal is long-term capital gains through the growth of
a diversified portfolio of equity investments. This funding model is designed to seek companies positioned to achieve eventual
stock liquidity, yet recognizing the challenges of early stage ventures.
Rebel has
helped establish expert Advisory Boards, comprised of high-level business leaders as well as scientific and industry experts
to assist our Portfolio Companies in their growth and development.
Entrepreneurship
Today, ten
percent of Americans own their own business. Another 57 percent say
they dream of owning their own business.
And with that dream are hopes, fears, fantasies, and illusions of what it is really like to be a business owner. Yet
the promise of financial independence and the ability to be self-determining carries strong appeal. The process of beginning
a business is more complex than is commonly percieved.
they dream of owning
their own business. And with that dream are hopes, fears, fantasies, and illusions of what it is really
like to be a business owner. Yet the promise of financial independence and the ability to be self-determining carries strong
appeal. The process of beginning a business is more complex than is commonly percieved.
Entrepreneurs need to answer many
questions, "Who is going to be passionate about this company and why?" With so many innovative and high potential
companies, entrepreneurs soon realize that their business vision has to be dynamic to secure good management, compelling
to attract and keep customers. It has to be inspiring enough to motivate investors.
While a proprietary technology
or methodology is exciting, it takes more than that to make a company's vision compelling. It takes well-defined
strategies that can be executed by mature leadership to build a solid company and genterate an excess rate of return.
Executive To Entrepreneur
Executive To
Entrepreneur is a transition many are making
in mid-life today. Yet how can those who have risen to top levels in the corporate world translate their skills into such
an undefined, creative, and risky environment? It is quite different to execute within a corporation with
a staff and a budget, than it is as a beginning entrepreneur, often alone and with inadequate capital. New
outlooks, skill sets, and internal resources need to be developed.
Entrepreneurs must be able to manage
multiple processes, challenges, and people each day. To do this effectively, they have to cultivate the
right attitudes. They need to develop habits that support them. They must try to take
care of themselves in spite of many demands. They must work tirelessly and maintain some semblance of balance
in their lives.
Entrepreneurial
leaders need to protect the company by thinking about what could go wrong. They need to help their staff
see that they can “succeed” in the face of many failures. They need to encourage everyone and
yet, remain resilient. They need to be able to psychologically handle the discrepancy between where the company is –
and where they want to take it. They have to be willing to try and fail and try again. They
need to be unswervingly dedicated. Entrepreneurs need to be very focused – and to be able to keep their eye on everything
that’s happening around them. Ultimately effectiveness is based on leadership and is key to the process
of building a company of lasting value.
Leadership
Ideas,
even good ones, can sit on shelf indefinitely.
It takes people…. leaders…with a willingness to risk and a good plan…to make ideas into a reality.
It takes determined, capable, talented people working with focus. These individual leaders have to be both optimistic
and realistic. They must be motivated, willing to work hard, and to just do what it takes.
They have to be able to work collaboratively on a team. From the CEO to the receptionist, an entrepreneurial attitude
is essential. When individuals can take responsibility for their own results, the potential is remarkable.
Strong leaders that can create teams with these qualities are invaluable to any endeavor.