Resources for raising funds in NY
I need to start fund raising so I can hire developers to finish completion of my product and start selling it and actually making some money.
At the moment I have a presentation and a partly functioning prototype I can demonstrate, but I can't really go further by myself.
I don't have family or friends I can ask, and as I have always worked for myself don't have co-workers I can partner with. There is absolutely no one in my personal circle I can ask to contribute in any way.
I was looking at Angels and VCs and such, however they all seem to want to invest only in existing companies. Most of them don't even have a means to setup a meeting or give a demonstration.
If Angels and VCs are out....what else can I do? Should I start advertising? How can I get people to actually give me money so I can bring my project to fruition?
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It sounds like you might be a good fit for an incubator fund. There are quite a few of them around. If you let us know where you are from, then that would help in giving you relevant suggestions. – Susan Jones 13 years ago
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I'm based in the New York area. – Sonny Ordell 13 years ago
1 Answer
It sounds like a seed fund or incubator might be a good fit for you. A seed fund will give you a small amount of money (around $25K - $50K) to help you advance your business. They often help out with contacts and strategic direction. Many of them also have links to VCs and Angels and can help you with further funding when (and if) you are ready for it.
Some of the appropriate funds in NY are:
- TechStars
- Village Ventures
- Iridesco Ventures
- Union Square Ventures
Public or not for profit seed funds include:
- Small Business Technology Investment Fund (SBTIF)
- WNY Business Development Fund
- NYC Seed
- Excell Partners, Inc.
You could also consider applying to interstate programs like Y Combinator. There is a list of the top incubator programs in the US here.
(For those not in NY, there is a list of incubators worldwide here.)
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Hi Susan, I am not familiar with seed funds or incubators. How do they work, roughly, and is not being a US Citizen a setback? – Sonny Ordell 13 years ago
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All the funds operate slightly differently but basically they give you some cash for a share of your company and often offer mentoring as well. The first link I posted has a run down of the basics for the funds listed. Being a US citizen or not probably depends on the fund but they are more usually more interested in your business than where you are from. Saying that, they can tend to invest in startups that are close geographically. – Susan Jones 13 years ago
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Hmm, Thanks Susan – Sonny Ordell 13 years ago
