Hi everyone

Pls I'm just a curious 19 year old.

In the case where an individual approaches an investor for funds to fund a startup,

Then unfortunately the start up fails or wind down and the investors had injected about 10million naira

How does the individual sort out the debt burden?

Pls explain to me how investors funding works

Thanks much

Temioolajide:
Hi everyone

Pls I'm just a curious 19 year old.

In the case where an individual approaches an investor for funds to fund a startup,

Then unfortunately the start up fails or wind down and the investors had injected about 10million naira

How does the individual sort out the debt burden?

Pls explain to me how investors funding works

Thanks much

the INDIVIDUAL will bear the consequences FOR STARTING WITHOUT SENSE. all because there was no MENTOR.


Jumping into things without going through right route will always lead in issues.

THE INDIVIDUAL NEEDS A LAWYER..... A VERY HIGH RANKING POLICE/SOLDIER AND A STRONG SPIRITUAL HELP.





EXPERIENCE IS A BAD TEACHER.....
Better to LEARN before EARNING....

Better to learn thoroughly before bringing in INVESTORS.


the INDIVIDUAL has lost NAME, INTEGRITY, PORTFOLIO, PEACE and may even get jailed


BUT IF THE INDIVIDUAL DOESN'T QUIT, BUT ADMITS HIS MISTAKE BY GOING BACK TO BE SCHOOLED OR MENTORED PROPERLY............ the INDIVIDUAL WILL RECOVER.

yrhuhfy113:


the INDIVIDUAL will bear the consequences FOR STARTING WITHOUT SENSE. all because there was no MENTOR.


Jumping into things without going through right route will always lead in issues.

THE INDIVIDUAL NEEDS A LAWYER..... A VERY HIGH RANKING POLICE/SOLDIER AND A STRONG SPIRITUAL HELP.





EXPERIENCE IS A BAD TEACHER.....
Better to LEARN before EARNING....

Better to learn thoroughly before bringing in INVESTORS.


the INDIVIDUAL has lost NAME, INTEGRITY, PORTFOLIO, PEACE and may even get jailed


BUT IF THE INDIVIDUAL DOESN'T QUIT, BUT ADMITS HIS MISTAKE BY GOING BACK TO BE SCHOOLED OR MENTORED PROPERLY............ the INDIVIDUAL WILL RECOVER.

Mentor,going through the right route.
Noted thank you...

Temioolajide:


Mentor,going through the right route.
Noted thank you...

Before getting investors or even starting a business.... do your SWOT analysis. The investor should have asked for this, to know if there would be unforeseen circumstances.

yrhuhfy113:


Before getting investors or even starting a business.... do your SWOT analysis. The investor should have asked for this, to know if there would be unforeseen circumstances.

Pls what is the full meaning of SWOT?

Temioolajide:


Pls what is the full meaning of SWOT?

Strengths
Weakness
Opportunities
Threats

its the analytical business tool to test the feasibility of any IDEA


Google SWOT Analysis for further study

yrhuhfy113:


Strengths
Weakness
Opportunities
Threats

its the analytical business tool to test the feasibility of any IDEA


Google SWOT Analysis for further study

I will
Thanks 👍

Temioolajide:
Hi everyone

Pls I'm just a curious 19 year old.

In the case where an individual approaches an investor for funds to fund a startup,

Then unfortunately the start up fails or wind down and the investors had injected about 10million naira

How does the individual sort out the debt burden?

Pls explain to me how investors funding works

Thanks much

1- If you have legal documents partaining the business you can declare bankruptcy but be warned this option doesn't work in Nigeria

2- Explain to the investors about the development and start working on a repayment plan(salvage what's left of the investment and start paying back immediately) depending on your scale of preference i.e. Small investors should get full payment while the premium/large investors should get at least 70% payment immediately then the rest as you get more funds
3- better get a lawyer ASAP
4- who on earth invests 10m in a 19yrs old in this country??

skywolf28:




1- If you have legal documents partaining the business you can declare bankruptcy but be warned this option doesn't work in Nigeria

2- Explain to the investors about the development and start working on a repayment plan(salvage what's left of the investment and start paying back immediately) depending on your scale of preference i.e. Small investors should get full payment while the premium/large investors should get at least 70% payment immediately then the rest as you get more funds
3- better get a lawyer ASAP
4- who on earth invests 10m in a 19yrs old in this country??

Where did i mention that i need someone to invest 10 million?? i only said i'm a curious 19 year old and the 10 million was an example

At 19, don't go for a N10m investment loan no matter how attractive the investor may make it sound. It is a trap and if you are not careful, you may end up in jail or, worst case scenario like the unfortunate case of the Gokada, killed if things go horribly wrong. Do not go for it!
At 19, make mistakes that will not put your whole life and future in jeopardy.

Use your limited funds and grow or compound it gradually until if you seek an investor, you can show him that you have invested more in that business more than the loan you are requesting so that it serves like a collateral.

To repay back if you have already erred, then better involve your parents and those the investor respects. While at it, just be ready: that saying that a borrower is a slave to the lender will be a rude awakening to you. If God saves you from this, next time, you will start with your own funds so that if things go South, you lose only your money and gain experience.
Any one giving a 19 year old a loan of N19m no try at all. 19!It is so odd and the early adolescent age where likelihood of failure risk is extremely high!