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by The Leasing Group

“I’m offering 20% of my internet company for $50,000.”

“I’m seeking $500,000 in exchange for 35% of my production company.”

 “I’m here to sell you 15% of my distribution company for $250,000.”

 

These are called the “money excuses.”  They give the impression of success, if only enough money is available.  But, they rarely tell the whole story.

 

Have you ever watched the Shark Tank?  Budding entrepreneurs come on the show asking for an investment from the five sharks in exchange for a portion of their companies.  They pitch and plead and beg.  The passionate ones with good sales skills sometimes walk away with a check.  But in the end, after all the wrangling and negotiating, we discover that money wasn’t the only thing they wanted, or the most important.

 

As any good entrepreneur knows, the importance of money is often overstated.  Although these sharks are valuable partners, their value is much greater than any amount of financial support.  A well funded bad idea is still a bad idea.  Likewise, a good idea can succeed without funds from the sharks.

 

So why not be honest and change the pitch?  How about opening the conversation with something like this…

 

Sharks, I’m not here looking for your money.  Any wealthy investor can write me a check.

I’m here because I need your time, expertise and experience. 

Most importantly, I need your connections.  I want you to be my partner. 

What will that cost?”

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The Money Excuses