why people invest in start-ups

People start businesses to make the world a better place but when it comes to growing them by selling shares to people you aren't related to it's good to get REAL about what's in it for them (clue: they aren't there because they want to help you out).⁠
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I've done numerous rounds of fundraising on my own businesses over the years and been privy to other people's. So here, a truth bomb, the 3 reasons why rich people invest in startups:⁠
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1: TO PAY LESS TAX (by reducing their annual declared profit and by using tax breaks like the SEIS and EIS schemes)⁠
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2: TO MAKE MONEY (by selling the shares at a profit at a future date) ⁠
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3: TO ALIGN THEMSELVES WITH THE VALUES OF THE BUSINESS (because they share those values or to benefit from being perceived as sharing them)⁠

Taking money from someone you don't know into your business is very serious and you should explore all other funding routes before you do it.

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