I’ve read a lot of advice about limiting the exposure to family and friends on on your cap table.
If there are individuals whose advice you value, who might be able to write the cheque for the search capital, but you know won’t be able to write the cheque for the acquisition capital - should you try to avoid these investors all together? Or can you spare some of your search capital for these cheques?
I understand that the cons of this might be that I would have to find further capital at the time of acquisition, but if it means getting a trusted advisor/small business operator on the advisory team early, isn’t that a good reason to let it happen?
Thanks for any/all advice here
Should I let friends & family into my traditional searchfund?
by a searcher from Massachusetts Institute of Technology - MIT Sloan School of Management
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We maintain partnerships with database providers that make searching more effective, efficient and affordable along with features that help searchers find deals and investors and vice versa.
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