In this module we will cover:
- How much funding should you raise?
- How to use funding milestones
- Calculating your Cash Burn Rate
- What are your Financing Options?
- Working Capital Facilities
- Which financing options should you pick?
On this Financing Terms course, we will explain the key factors that help you determine how much funding to raise. We will then outline financing options, ranging from philanthropy to debt and equity, and explain when each is suitable. Finally, we offer some suggestions on how to choose the best financing option for yourself.
To help you with the investor negotiations, we also provide sample term sheets (non-legally binding summary sheets that describe the key features of your financing offer) that can fill in based on which type of finance you select.
Once you have decided which type of finance to raise (philanthropy, debt or equity) and how much, you are now ready to set out the terms of your Financing Offer to investors. It is important for you to decide these terms for yourself before you begin speaking to investors. The tool to help you do this is the Term Sheet.
You will also understand the key factors that help you determine how much funding to raise, what are your financing options and some suggestions on how to choose the best financing options.