On Sat, 8 Dec 2001 [EMAIL PROTECTED] wrote:

> At 4:01 PM -0800 12/7/01, Greg Broiles wrote:
> >>When a new company is out raising venture capital you have very little
> >>information on the investors.
> 
> Greg, I agree that e-gold (GSR .. whatever) is not to blame, BUT, teh 
> above is just not correct.

In this case I stand by that statement.

Venture capital is rarely provided by individuals but by companies making
investments on bahalf of other people.

About the only due diligence you can do in this case is to verify that
they are indeed a valid company and they have the money.

Investing in a company such as G&SR is a very high risk venture.  It is an
untried business model and companies like Morgan-Stanley are not going to
beat down your door to give you funding.

I have been down this path twice myself.  I am getting ready to do it
again.  I can tell you from experience that fund raising for a new company
can be extremely difficult.


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