4 Types of People You'll Meet Raising Capital (And How to Spot the Sharks)

Pete Cooper recounts a call with a supposed funding contact whose name, company and location did not line up. He says the person then sought up to $50,000 upfront to help raise capital, which he treats as a major warning sign.

Cooper groups funding contacts into genuine investors, gatekeepers, time wasters and what he calls ‘sharks.’ Based on this personal experience, he recommends bootstrapping where possible, researching and approaching relevant investors directly, and avoiding upfront-fee offers that do not put capital into the venture.