Is this style of fund-raising doable?


0
Scenario
Give investors the option to have 50% of their equity returned as cash in the event that the cash value will equal their original investment amount. The idea is to make this a LOW RISK investment for 3F's in order to gain early traction.
Example
  • Investor ABC gives 10k for 10% during early round round
  • Next round completes at 100k for 50%
  • Investor ABC is given 10k for 5% leaving them with 5% equity

Question

If I went this route what do I need to be aware of? What are potential problems?

Venture Capital Investors Seed Funding Fundraising

asked Nov 12 '18 at 20:19
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Jackson Rollins
1 point
Get up to $750,000 within 24 hours with a small business loan from Clarify Capital

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Venture Capital Investors Seed Funding Fundraising