Thank you to Split Rock Partners for underwriting the Entrepreneur 2 Entrepreneur Series.
We reached out to hear more about his firsthand experiences and advice for peers:
Was this this first time you’ve raised investor capital and what was the process like for you?
Yes, it’s a first for me. Our process was unique and interesting…although I wished we could have closed earlier, we did accomplish what we set to.
We eventually found the money we wanted, the way we wanted it, from a syndicate out of state. Overall, it was time consuming but I actually enjoyed it more than expected. You can only read so much about it, but the nitty gritty details are different for every entrepreneur.
What will you use the proceeds for?
We’ve grown the company (16 employees – 12 FT & 4 PT; 13 of 16 in Minnesota) and will be able to expand on our idea of measuring temperature together with some of the best brains in the weather/temperature/sensor space. With that in mind, we will continue acquiring enterprise customers. In the big picture, we’re adding a number of states to sense, measure and analyze.
What advice do you have for entrepreneurs considering their own fundraising activities?
1) Know your stuff; learn the terminology used, the structure and nuances of contracts.
2) Have a partner/cofounder willing to go down the road with you on the research and legal process.
3) Have a good legal team! Shoutout to Merchant & Gould (IP) + Briggs and Morgan (GC)
4) Healthy desire to participate in the process and passion to learn what it’s all about.
5) Use your founders stock wisely
Anything else you would like to add?
Understand the physics and logic underlying the problem you’re seeking to solve in the world, better than anyone else.