I am in the process of researching and seeking some seed capital for my startup and have registered with several online funding sites (i.e. Go4funding, Raisecapital, Findthatmoney, etc.) and pitched my startup and funding requirements.
I am aware that one must be weary of scammers and protecting your ideas, but I wanted to know if anyone has received any funding from any of these types of sites or have been contacted by investors through these sites? What were your experiences? How were you approached by investors?
Would you know of any sites on the internet that write about people`s experiences with these sites??
I was recently contacted by a possible investor from the UK. His interest has been very straightforward unlike some of the other responses to my posts. I decided to respond to his email, and he now requests a business proposal to include, but not limited to, a summary of my company`s products/services, proposed transaction structure, including the amount sought, use of funds, and capital structure. He is looking for an equity position of a 3 to 6 year exit period Once he has the info, he writes that we would have a basis of discussing the terms of investment.
What do you think?
I want to proceed, but am hesitant as you can imagine.
I don`t want to send my entire business plan, but how much of it should I give away in the initial contacts to satisfy this possible investor`s request??
Can you guys weigh in??