About two months ago, I got an email from one of my clients.
It had a PDF attachment.
He was about to sign a deal with a potential investor who had agreed to invest $50,000 in his leather products business.
After months of searching, he was very excited that the money he had been looking for was finally within his reach.
This email was to get my advice on the content of the attached contract before he signs it.
The investor’s deadline was just about 24 hours away.
He badly needed the money.
I didn’t have to read beyond the 2nd page of the contract before I replied to his email.
My reply was very short:
“Don’t touch it.”
A lot of entrepreneurs take the wrong money.
As I often say, “All money is not the same.”
If my client had signed that deal, he would have paid heavily for it.
The terms of the deal were too restrictive, and they gave too much power to the investor.
In essence, if my client had signed that contract, he would have changed from ‘entrepreneur’ to ’employee’.
That’s why you need to listen to this episode of the podcast.
In this week’s episode of the Smallstarter Business Podcast, I explore the 7 most important things you need to consider before taking money from anyone — your friend, an investor, a bank — anyone.
You’re going to learn a lot from this.