

Ask HN: A Good Problem to Have (Who to Take Money From) - inadverted

I have a number of possible sources for cash to expand my already-cash-positive (relatively profitable, really) venture. It doesn't <i>need</i> cash, but liquidity could be put to good use, and diversify the concentrated risk of being the only person with stake right now.<p>1) Family - They are curious, plus would rather see me take money from them than be tied to the whims/demands of a stranger.<p>2) Fellow Entrepreneurs - I have at least one, maybe two people who would add cash to the cause (both essentially offered without my expressing need/interest)<p>3) Angelic Strangers - Again, a few possibilities with various degrees of seriousness behind them (venture/angel)<p>Everything else being equal, who would be best to get money from? Any good resources/guides to this kind of dilemma? Thanks in advance.
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brudgers
Obviously, the best source of cash is your customers. If the business doesn't
need cash, then family can serve as a line of credit in a cash flow crisis.

When all an investor brings to the table is cash, then a loan may be more
appropriate than equity. And that sort of rules out entrepreneurs and angels.

Before taking any money, there should be a need, e.g. cash is needed to hire
employees due to growth.

Good luck.

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inadverted
Good points one and all. I think where I'm stuck is that I want to diversify
away my core risk of being totally tied to ongoing revenues - i.e. I want to
sell some of my stake. So while the money isn't technically needed, it would
allow certain growth opportunities but equally importantly would make me less
stressed about my personal month-to-month income (which is very good, but
varies too).

