How to Spend Your Investors Money
Download as docx, pdf0 likes205 views
The document provides advice on how to effectively spend money received from Startup Chile. It identifies three types of spenders - impulsive buyers who spend unwisely, misers who are too cautious to spend efficiently, and planners. The document recommends taking a planned approach by setting budgets for recurring costs, development, marketing, and support based on the specific startup needs. Using a tool like Rubberstamp to set monthly budgets that require team approval can help avoid impulsive spending, ensure money is spent strategically on the right items, and streamline the reimbursement process.
How to Spend Your Investors Money
- 1. How to spend your Startup Chile money? - Getting their money back? - Rules of spending at startup chile http://www.startupchile.org/about/faqs/ - Types of spender in startups chile Types of Spenders: - Impulsive buyers Get drunk in a pub and hire their friends - Misers: Spend so much time worried about making a decision that they cant spend effecitly. End up not spending their money on time. - But you want to be a planner: You need a little bit of all three : - Set your budgets - Running costs: How must your spend (wages: food, macbooks) - Development: - Marketing: - Support: eg: mobile app: - Static Burn rate: 2 people * $1,500 * 6 = $9,000 - Air fares / travel $3,000 - Dev: $3k * 3 = $9k - Marketing: - FB ads: $4000 - Adwords: $4000 - Hire copywriter: $500 Why you should use rubberstamp to manage your startup chile money: Set up your budgets: get your team members or co-founders to approve spending each month. Benefit: - Stops impulsive buying
- 2. - Means you spend the money on the right things - You always have a second set of eyes on an expenditure - Your reimbursement process is much easier.