DON'T TAKE VC MONEY (if you have this)

Don't take venture capital money. And I'm here, most founders don't and they shouldn't want VC money. It's the most expensive money you can put in your business. Highest risk, highest cost, hands down. There are a bunch of reasons not to take it, here are three. No. 1, you already have predictable revenue. If your business is profitable and growing, the smartest thing you can do is get a small business loan. Pay down cheap debt while you keep 100% of the pie. No. 2, bootstrap as long as you can. Friends and family money, customer revenue, whatever it takes. Keep growing market share. At some point, you decide to raise VC, but every year you hold off, the company is worth more and the VCs own a smaller slice when they finally come in. No. 3, VC is not a rescue plan. If you're three months from running out of cash or your growth has flatlined for two quarters, staring down the wall thinking VC money is gonna save you, that is a very bad plan. That's it. I'm Vinnie Lauria, founding partner at Golden Gate Ventures. Follow along for more founder education content.