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Startup Funding Explained: Everything You Need to Know

39392 ratings | 1286793 views
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Text Comments (975)
Jay Muring (23 hours ago)
For a teenager like me, watching a video like this is like preparing my future for a bigsteps
Marc Gaspard (1 day ago)
Much Appreciate !! Can you help this to be in an excel table ? On how the shares and the money is split in future ? Thanks
Kamichi Kora (1 day ago)
Great great content
Brandon Coley (1 day ago)
Lutherangrants com are amazing .They sent me $18,000 grant yesterday.
Koustav Chakrabartty (2 days ago)
Best video ever seen
Alexandre (3 days ago)
Super clear! Thanks a lot!
obscure323 (6 days ago)
When are you going to make videos for the “topics for another time”?
I'm So Diaosi (7 days ago)
真棒!
Keme Kenneth (8 days ago)
Love the explanations and the animations.
Patrick Garrett (10 days ago)
Really excellent video. Thank you
Rawan A (11 days ago)
Interesting and useful
Burning Knight (12 days ago)
Nice explanation style.
Joshua Hibbs (13 days ago)
The Video got wrong about the idea of stock splitting it hardly ever happens anymore I read last year in 2018 that something like 7 companies in the S&P 500 did a form of stock splitting the principle of "stock splitting gas been on a extinction trend as it makes it easier for companies to buy each other out and for hedge funds to play the casino wheel while the average investor gets Sh##ted.
Kirk Schafer (14 days ago)
I remember the basics from cost accounting, but the "startups" context is very much appreciated. Thanks for putting this together in an easy-to-follow way.
Stephen Tilton (16 days ago)
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Joakim Andersson (17 days ago)
"You get 50 000 dollars from a wealthy family friend" Well... ok then... *Puts on clockmaker hat, dances through the upside down, into neverland"
Bruno Raschio (20 days ago)
I always look for businesses that have a very ambitious owner, he puts his money in his business and reinvests his profits for growth. Those are clear signs i look for when i invest in private equity through my company Grand Bay Investments
Bruno Raschio (20 days ago)
I always look for businesses that have a very ambitious owner, he puts his money in his business and reinvests his profits showing growth. Those are clear signs i look for when i invest in private equity through grand bay investments
Fellipemark Bartino (24 days ago)
globalcyberaids,com are only the genuine hackers here
Dumb Society (25 days ago)
What if i dont go to Public trade or no one buys my company? How will the investors recoup their investments? Thru dividends? or sell it privately to other investors?
Sibi Mathew (26 days ago)
Simple way of explaining a complex subject.. kudos.
Rupesh Sukale (26 days ago)
Doubt in calculations: @5:43 how 33k? Its is 25% for 100000 shares, so it must for 25k shares for investors right?
The Rest Of Us (26 days ago)
Rupesh Sukale 33/133=25%
shnehil shandilya (28 days ago)
very well explained!
hidden leaf (28 days ago)
Sorry but your accent is hard to follow.
Utkarsh Dubey (30 days ago)
I think you could have got patenting covered too. It takes a lot of money.
Utkarsh Dubey (30 days ago)
Nice
Nasif Ali (1 month ago)
I need co founder with me ... He should be an expert in programing and coding abig sites.... serious
joe montizo (1 month ago)
Another option for Startup Funding is to use you credit. I was able to build my own credit profile up to $226,000 in a little over 2 years from less then $8000 in credit. I made sure to pay my balance down to less then 10% every month and never missed a payment. Once my credit score hit 700+, I used a company called LendingMatchup to help me get approved for funding. Every 6 months I would have them get me a new round of funding then remove the inquiries for anything I didn't get approved for. My first round of funding I was only able to get approved for $32,000 because I barely had any credit established but my second round was $67,000 and each round after the second has been atleast 50k+. My advice is to work on building your personal credit until you can use your own credit to get approved for funding then use someone who knows what theyre doing to help you get funding. Its alot better then giving away a chunk of your business to someone else or having to ask friends or family.
Waqar Sajid (1 month ago)
Thanks
Emmanuel Fleurine (1 month ago)
this video is wonderfull thanks for the explanation.
bani aly (1 month ago)
how the hell can i find an investore am in a contry where metal and fish and gold are so easy to get and yet we have one company that mine iron i got to use this opportunity but lack of funds i got some cash but not gone make a full company and i need that company to be full i live in (mauritania) look it up
Juan Flores (1 month ago)
Loved the Martin Scorsese table lol!
PinkTrash Unicorn (1 month ago)
What person investing their money doesn't care about the business plan?
Van Vu (1 month ago)
the capital raise is the fundamental flaw of this start up model. Cant just poof shares out of nowhere like the FED
808OnDaTrack (1 month ago)
Love this video. You made it very simple. Thank you!
You're on point on the information, however, the background noise and also the speed at which you are going, made it so distracting.
nim roo (1 month ago)
I have my exam tomorrow and this helps so much. Thanks for explaining it accurately and breaking down the complex process in a much simpler manner. Really appreciate it! (:
KSR TV (1 month ago)
This video killed my confusion!!! You made it look so easy bruh thanks you’re the man!!!
IELTS Fahim (1 month ago)
I learned almost everything I was looking for in these past months in one video, though I watched the video over and over again to understand the math and terms used here. But I loved it. Very professional! Do you have more videos like this one?
IELTS Fahim (1 month ago)
+The Rest Of Us Yeah, I watched that now. Another masterpiece! Thank you so much for making them.
The Rest Of Us (1 month ago)
IELTS Fahim Yea 1 more on startup contracts
Devon Fritz (1 month ago)
Great explanation! Thanks!
Santosh Bukkashetti (1 month ago)
The world is full of talent.
awesome djman (1 month ago)
6:16 I lied
Bango Tube (1 month ago)
Your video is very good. I saw the whole video. Awesome. I'm a regular visitor to your channel, Your channel is really good. I wish you good luck in your channel I also have a youtube channel “bangotube” . If you think you can see my channel. Thank you
REVO_MOVO (1 month ago)
Thank you for getting so far in the explanation until reaching the IPO, I wasn't expecting it and I needed to the understand it. Thanks again for the whole video.
Priyanshu Singh (1 month ago)
less post-money valuation means that the company is already worth more. Does that mean Investors look for companies with lower net worths?
Edwin Tobias (1 month ago)
Wow business degree say whaaaaaat?
Thom (1 month ago)
"A year has passed, things are going well." Not how it works.
Ron Chua (1 month ago)
Wow the most easy to digest explanation bout this topic in YT! More powers! Subscribed and liked :)
Deepak Singh (1 month ago)
Yes it is a very good vidio.. Explains all about funding and investment.. Good job sir
Bosty Chan (2 months ago)
love this video. please make more!
GoodReception (2 months ago)
Wow! Thanks for this wonderful video. I kept thinking about "The Social Network" as I watched it play. I got my homework cut out for me now. I want a greater understanding of this material. Thank You!
Andrew Asonibare (2 months ago)
Great video! But you already know that...
Patrick Gathara (2 months ago)
i now understand silicon valley waay much better
Money is energy (2 months ago)
Nice video! Make more!
Archeaon (2 months ago)
you are neglecting that a valuation too high is a bubble, you have to keep the value realistic or you'll fail and not push for the thing that will give you more money
Not Santa (2 months ago)
6:16-6:19 I love how you said "I lied".
Al Michael (2 months ago)
I'm confused. How was the $50,000 became $250,000? Please enlighten me. Thanks!
Panache legacy TV (2 months ago)
Love this video but I still don't understand how you got the 33,000 Shares for 25%. Am very confused. Am hoping someone can help explain that. Thank you
The Rest Of Us (2 months ago)
Panache legacy TV 33K/133K = 25%. The new investors got 25% for the their investment, which equals 33K shares.
MysterGhost Gaming (2 months ago)
After watching this i realized this is what Silicon Valley TV series is all about without all funding explanation. Thanks for making this video.
Lyndon Smith (2 months ago)
Thank you.
Hussain Motiwala (2 months ago)
Hi all. I need funding too, please visit this link to help out https://gogetfunding.com/Whosanem/
I mean, most startups start as either sole traders or partnerships which require little to no paperwork, only a business license, and its not even that expensive.
Alexandre Villegas (2 months ago)
You put it so simple! fantastic mate cheers
McDarbs TV (2 months ago)
If I sell 10% of my share for 100k to the new investor, does that mean that I can keep the money? Or the money will go to the company as additional capital?
Randy ortan (2 months ago)
Hey when going ipo does public buying your stock gets a share in your company if so if so many people buys it then your share will be small ?
Swapnil Bhadade (2 months ago)
Great explanation. 10000 Kudos
George Qiao (2 months ago)
Just wondering, how much experience does the video-maker have in actually pitching and building a startup? How much have you raised? Asking to see if the advice in this video has actually been put into practice
Marcos C. Santos (2 months ago)
One of the best lectures I've ever had in my entire life. Congrats!
Harsh Tiwari (2 months ago)
Brilliantly explained - Thanks!
LMathews (2 months ago)
Damn lol i need to watch over and over again lol and take notes
C H (2 months ago)
Life of Starting a Startup 1. Realize a problem/pain-point with a friend that has complimentary skill sets and similar passion. Ideally one tech founder and one business founder. 2. Brainstorm people who experience the same pain. Validate that by talking to 5-10 of each demographic. Jot down their characteristics and demographics (user persona), identify an early adopter (diffusion of innovation). Stay in a good relationship with people who could be early users. 3. Build something that'd address the problem. 4. Reach back to the folks you talked to. Test the prototype with them. 5. If the solution really solves a pain, incorporate into a business, design your logo, etc 6. Onboard a UIUX designer and build and perfect the product, simultaneously do more outreach to find more people with that pain. 7. Apply to an accelerator or get angel investment. Don't get money from VCs because there's too much bs attached with them, at least at this stage. 8. Always be in incredible relationships with your early users, always build something that they want. 9. Scale the business somehow. Spend money consciously, hire slow and fire fast. 10. Starting a startup is different than scaling a startup is different than running a scaled startup. When it's the right time, change roles even as founders. There's a lot more to it but yeah.
Cloud Envy (1 month ago)
This was helpful thank you.
Anna Jany (2 months ago)
It is also a popularity contest to obtain these invesments or luck of what type of social circle one is in. Also, since this is basically the sought out form of earning income in silicon valley which has many unspoken negative consequences.
Kartik Sarda (2 months ago)
Great video!
Altaff Hadi (2 months ago)
ok great thanks Altaff Hadi Omar Bhikhba Director Owner Specialists Professionals Real Estate Brokers SpecialistsProfessionals.com
Math collection is fail calture?
Ace (2 months ago)
i didnt understand most of this i need help
Lin 2017 (2 months ago)
I possibly liked your accent over your context. I meant that every single word.
Wisdom Carl (2 months ago)
Expeditetools ,com did a hacked transfer and I was able to get funds for my business startup and I did not have to pay back
Shubham Gupta (3 months ago)
thnx mate
justin johnson (3 months ago)
Great video! The Best Place for Startup Business Funding is LendingMatchup
israel chebrolu (3 months ago)
CrunchBase Pro Services https://goo.gl/uS8s4q
Amit Raj (3 months ago)
Can anybody answer me at 1.40 how was company worth $250,000, or it was just an example. ?
Mike Awesnap (3 months ago)
I'm confused. If I have an investor that now owns 25% of my company, why am I creating 33%more shares? This doesn't make sense to me, as if there were 100k shares to begin with, and now 25% is a new investor, than my math is... 100k x 25% = 25k shares, making the grand total 125k shares, not 133k shares.
Susmit Agrawal (3 months ago)
No, the new investor has invested to gain a 25% stake in the company. However, that investment has changed the value of 100K shares to be 3/4th of the company so by using the unitary method you see that 100% of shares would be = 133K and not 125K (dont go by the % stake but by the amount invested)
Rahul Pratt (3 months ago)
I learned more than just what I had expected.
Wisdom Carl (3 months ago)
Grants ae very difficult to get but expeditetools ,com can help you with funds just as they helped me and my friends
Philippe Villard (3 months ago)
Great video! Such simple explanation!
Victoria Films (3 months ago)
so from a startup you move right away to the stock market? hahahaha
Tarz Thomas (3 months ago)
Personally I have lots of ideas but I dont know what to do with them ,or how to get them started
sahib alshajarah (3 months ago)
dude ! your channel is just so awesome !! thank you
Jeannelle Hill (3 months ago)
Awesome video. You made a complicated process easy to understand. Thanks!
Sanjay Singh (3 months ago)
Plz explaine math at 1:36
Pratik Raj (3 months ago)
Wow... I watched this video 5 time. Thank You very very much (one-day someone will find this comment)
B G (3 months ago)
This is confusing as fuck! Fuck you and fuck anyone who understood all this gibberish the first time they listened to it🖕Y’all might be smart, but DO YOU get laid! Probably Not!
utku odabasi (3 months ago)
Who also immediately hit the subscribe button :D
Shola Ogueboule (3 months ago)
the way he talks is so satifying
Will Kanoff (3 months ago)
Why the FUCK it has to be always some computer related app development BS?! Is there nothing else??!!!...
Joseph Spurgeon Locsin (3 months ago)
How can I determine the value of each share if the company is still being built but need to start selling shares to support the companies expences?
Quang Hong (3 months ago)
What does it mean by well of family friend who buys them for $50k. How does this number show up because company starts up $100k and for 3 founders which make up to 100 %. Where is the 50k? Thanks for explaining
Adam Simmons (3 months ago)
A few weeks later you get offers....lmao. Structurally correct but not realistic and excludes MANY steps.
jetski Dex (4 months ago)
Fucking hell that was sick, first iv seen and subbed immediately.

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