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Ask HN: Will the low-key investors please stand up?

7 pointsby illuminatus31over 14 years ago
Defined Problem:<p>Looking for funding is a bitch. Incubators/VCs/high-profile-angels, while necessary for the startup scene at large, still require a lot of work in terms of engagement, time spent courting, relocation, meetings, presentations, and more.<p>Proposed Solution:<p><i>I'm not a tech superstar and I don't have a startup, but I do have MONEY:</i> Although we're in a recession there are no doubt many people interested in startups, tech startups in particular. They may not have 1000s+ followers on twitter or know celebrities in the Valley but they do have MONEY.<p><i>I can't relocate/go through crazy fundraising rounds but I do have a product I can demo:</i> On the other side of the equation are tech entrepreneurs/programmers with a product in hand but with neither the time or the inclination to go out fundraising, relocating, or schmoozing with industry insiders/journalists etc.. At least not in the beginning when they're 100% focused on product dev!<p>Why oh why can we not bridge these two together?

5 comments

caudicusover 14 years ago
I'd guess it's signal/noise ratio issue. I'd assume the number of "I have a startup but no money" people outnumber the "I have money and am looking to invest in a startup" people. By forcing startups to "pitch" and "schmooze" it acts as an filter to keep everyone but the most serious startups from wasting the time of these investors, even if it does take away time from these fledgling companies.<p>edit: On top of that, in reply to "low key" - I'm reading that as "low net-worth but still willing to spend" - <a href="http://www.paulgraham.com/startupfunding.html" rel="nofollow">http://www.paulgraham.com/startupfunding.html</a> under "Friends/Family" - taking money from non-accredited investors is a burden according to this essay, but I don't know details myself.
tomfakesover 14 years ago
There was post on this same subject just last week: <a href="http://news.ycombinator.com/item?id=1815504" rel="nofollow">http://news.ycombinator.com/item?id=1815504</a><p>There is clearly a problem to be solved here. The key is to keep the 'big names' out of it to stop them drowning out the little guys. But the little guys will need some help to get started in this space. Its tricky<p>(And mark me down as a brand new, low-key angel investor)
mattmillerover 14 years ago
Is there anyone who has tried? There are tons of 'find a co-founder' websites, but I have not heard of a single 'show off your demo and speak with investors' website.<p>I know that investors want to invest in people not a product, but a good demo could and should lead to introductions.
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trizkover 14 years ago
Looking for funding has forced us to shift focus from developing our product to courting investors. It is such a waste of precious time. I would love to see a collaborative list, such as a spreadsheet on Google Docs, of less than well known investors.
jacquesmover 14 years ago
If you're in the US you'll run in to the accredited investor issue pretty quickly.<p>see: <a href="http://www.sec.gov/answers/accred.htm" rel="nofollow">http://www.sec.gov/answers/accred.htm</a>