Who invests in a startup and why?

Question

Startups

Good afternoon. There was an idea to create a site like "ostrvok.ru", only in Gelendzhik. Recently, the site "ostrvok.ru" attracted investments in the amount of $12 million. Startups constantly receive rather big investments and I have questions: What is the
point for investors to invest in projects? What do they get out of it? Will I owe something to the investor after his investment?

Answer 1

Yes. Investments - investments. Someone invests in a bank and waits, someone in mutual funds. And someone, consulting with experts, invests in a startup, in the hope that it will shoot. If not, he loses money, if yes, then he receives part of the profit. What part - I have no idea, but I think that everything is negotiated individually.
In general, everything is written in Wikipedia. en.wikipedia.org/wiki/%D0%98%D0%BD%D0%B2%D0%B5%D1%...

Answer 2

% of the company will have to give. The sooner you ask for investments, the more % investors will take and the less % will remain for you. The figure of 12 million must still be earned. In the early stages (before the prototype), it is realistic to get about 100 (give or take). With a prototype, you can already ask for a little more, after the first traction (customer statistics and all that), you can ask how much you conjure (figuratively speaking).

Answer 3

It seems that you are going to cheat the investor.
Don't
https://vc.ru/p/check-them-out

Answer 4

Investors purchase a part of the company/project with their own money. If the project is successful and it has prospects for the profit of a joint-stock company, then the value of the company being created, in the process of its development, grows over a wide range. Investors try to buy shares in companies when they have already proven their success, but have not yet grown into giant corporations. In this case, after some time, the investor will be able to sell his share on the exchange or to other private investors for an amount many times greater than he invested. The very first investor in Google, for example, increased his capital by more than 134,000 times, and with facebook it was even cooler. Not all startups are such cool capital multipliers, but in general, venture investors expect to multiply their investments at least 10 times, on average ...

Answer 5

you will owe him a lot of money
, in fact, they invest $12 million in venture, and they get $120 million in the output, that is, + 1000%
heh, of course you compared the islet and Gelendzhik

Answer 6

Startups are constantly receiving rather big investments and I have questions

There should be only one question: how much have you read about startups?
Stories about millions of investments, of course, get into the tops of news feeds. However, 90% of startups fail at the idea validation stage. After that, another 50% of startups fail within the first 24 months. The rest live up to large investments or do without them.
About failures: siliconrus.com/2013/07/6-urokov-provalivshegosya-p...
Nevertheless, here is my story of getting investments.
People who give investments are completely different. The first, relatively small, money came to us from one of the top managers of a large IT company and from a middle manager in a large bank. We spent 3 months getting the first money.
After that, we spent almost a year running venture capital funds with a brilliant idea and several awards, and unrealistically large partnerships. In the literal sense, we were lucky ... until the moment of answers from professional investors. They said "later" one after the other.
Some time later, we made a pivot of the project, but this time we communicated directly with a former investment banker. He approved the investment, which was 20 times the original amount, in a week, and within 2 weeks after contacting him, we had money in the account.
So who gives money? Honestly, everyone and no one. Everything - because even your distant relative with a villa in London may suddenly be interested in the idea. Or it may be that even with signed contracts and sacred reading traction, professional investors will not give you anything.
Recommendation from personal experience: look for money in unexpected places.

Answer 7

Forget it. IRR, Avito has done everything for Gelendzhik for a long time. Once.
The second is how much you owe. This is how and with whom you agree. You can stay without everything.

Answer 8

Investors in WEB (normal) in Russia people (companies) 7. Everything is quite simple, the estimated profitability of projects is about 48% per annum (there are many factors). With further growth - 30% and constant scalability.
12 million is the task of taking over almost the entire offline (and feeding your own companies).