A Crude History of the Debt-Equity Paradigm

I still remember the “Intro to Business” class where I learned the two ways to fund a company–debt and equity.

This seemed really rudimentary to me–insultingly “intro” level. Those can’t be the only ways? That is so lazy!

Having now invested in over 50 companies (yes, with mostly equity), I can confirm my suspicions. Debt and equity are simply the first methods we’ve came up with to fund a company.

We’re now entering what I call Funding 2.0. Funding 2.0 abandons the debt/equity paradigm–what I call “two-bucket-thinking.”

Before diving into Funding 2.0 …

Any company located in rural Colorado and serving customers well beyond its locality has until June 18th to apply for over $1,300,000 in available investment through the Greater Colorado Pitch Series.

In 2020, the inaugural event drew in nearly one hundred applicants from 24 different Colorado communities for a chance at investment from the Greater Colorado Venture Fund (GCVF). The event ultimately facilitated over two million dollars in funding from GCVF and its partners and garnered nearly 2,000 online views. …

Written in collaboration with Liz Giorgi, Co-Founder + CEO @ soona (@lizgiorgi)

Over the 2020 summer, Kokopelli Capital surveyed our portfolio, asking our founders how they felt about their company’s diversity, equity, and inclusion (DEI). While we’re proud of the diversity amongst our portfolio, this survey showed that we, like most of the startup world, have a long way to go. The survey showed that our founders are working to educate themselves on DEI issues and implementing DEI policies, but largely needed help cutting through the noise.

Hidden amongst the replies was one outlier — soona. Liz Giorgi, soona Co-Founder…

As a founder, you will meet hundreds of people who want to see you succeed. They can come from your friends, family, random coffee meetings (when there is not a pandemic), fortuitous email intros, ‘get to know you’ zoom meetings, conferences, and everything in between.

These are allies to you and your company, and they will become too many to remember.

You may not know exactly how these encounters can serve your company in the moment. In fact, they’re often stuck wondering the same thing themselves.

That’s okay. Just don’t lose them.

Real Examples of Monthly Updates Coming in Handy

  • Sales: A B2B founder asks her list if…

>> Download the full report here.

GCVF operates like a startup. 2020 marked our first major ‘product release’ – the Greater Colorado Pitch Series.

As is our goalsetting dogma, we had one ‘primary goal’ —source at least one incredible founder team to invest in. Having met a few of our pitch series founders in-person this past week, and we’re confident we blew this goal out of the water.

That said, we embrace the role this pitch series can play in the larger Colorado startup ecosystem. …

Image of pitch series finalist logos on image of Colorado

The Greater Colorado Venture Fund is excited to announce the seven rural Colorado-based companies to pitch during the Greater Colorado Pitch Series Finals Broadcast, July 30, 2020, 12–2 PM MT.

  • CyberPrivacy, Pueblo — cybersecurity for smart homes.
  • Glade Optics, Breckenridge — premium goggles and helmets for recreational skiers and snowboarders.
  • Hackernoon, Edwards — an open & international community of twelve thousand contributing writers and four million readers.
  • Nomad Reservations, Buffalo, WY (as of right now) — management software and booking engine to help campgrounds save time and boost occupancy
  • Product Movement Co., …

Full disclosure — this is a repost of a press release issued on June 9th, available here.

Startups located in rural Colorado outside of the Fort Collins through Colorado Springs urban corridor have until June 30, 2020 to apply for up to $250,000 in investment from Greater Colorado Venture Fund (GCVF) through the newly launched Greater Colorado Pitch Series. This virtual and fully remote pitch event will be broadcast online on July 30, 2020.

Pitch series poster highlighting sponsors and application date — june 30, broadcast date-july 30

In 2019, the vast majority of the $2.5 billion in venture capital invested into Colorado startups went to the Front Range urban corridor. Greater Colorado Venture…

Recently, in the process of seeking partners for the Greater Colorado Pitch Series, we came across a novel requirement from a foundation — all partner organizations must have a formal non-discrimination policy.

Frankly, this was a miss on GCVF’s part.

As a team of three who take pride in our lean and mean organization, formal policies are not our strength. We have deep trust in each other’s consistent and respectful conduct. Our partnership places a high value on transparency. We’d like to think that is all the structure we need to ensure a culture that is respectful and equitable to…

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About a year ago, we held the Alternative Capital Summit in Denver, CO. The event birthed helpful direction for the plight of the 81% of founders who are left behind by the debt-equity paradigm.

For Kiah Hochstetler, COO of Goodworks Ventures, the ideas of the summit were missing one thing: concrete and objective–numbers.

Revenue-based investment (RBI) sounds great, but what are the real financial consequences associated with it? How do you know if a company can afford RBI?

Kiah enlisted excel-guru Stephon Smith, founder of Modulus Financial, and just a month later…

For many companies, capitalizing on an opportunity requires outside capital. However, many startups don’t have the collateral or operating history to secure debt.

Nearly all startup literature says that if you can’t secure debt, you need to raise venture capital. And that all venture capitalists invest with equity Structures. As a result, most founders tend to start with an eye toward equity investment.

Equity is simple to understand, but not always the correct tool for the job, as most founders aren’t explicitly in business to get acquired or IPO.

Among new funding options within this debt-equity chasm, revenue-based investing (RBI)…

jamie finney

Greater Colorado Venture Fund | Startup Colorado | Kokopelli Capital … Small Towns + Big Ideas @jam_finney

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