"Where's the Exit?"
Submitted by: George Magrath on Mar 27, 2009 at 10:44 pm
Tagged with: angel investing, BeliefNetworks, Funding
Source: Palmetto Investments and Exchange Group, LLP
As a partner at an angel fund in SC, the question that is most often asked by us is "Where's the exit?" This is a problem that has plagued the SE for a long time. It is the dark hole of angel investing, a portfolio full of companies which do not die, but do not have an exit. They are essentially zombies. As an investor, we like to see a turn over as soon as possible, it's part of the game. Make an investment as close to exit as you can. Let's be realistic, as a private investor at a private firm, it is all about making the most money possible. We love to create and foster companies along the way, but our mission and goal is to make astronomical amounts of money for our partners. That is why we always ask the question "Where's the exit?"
Here is a new blog by the most experienced guy in SC at making exits. It is dedicated to taking ideas to the bank.
Take a look at it and keep checking it. Hopefully it will influence the mindset and risk tolerance levels of our state. This is the key to being able to compete with NC and GA. Making great exits will attract the talent to make startups viable in SC, because let's be honest again, serial entrepreneurs want the same thing, an ecosystem that is known for quick, big exits. Big exits are what attracts people to the valley, Boston, or Atlanta and are what we need to create in SC to realistically become a startup economy.