Uncertainty about the financial future dominates the lives of hundreds of millions of people: Where will I sleep? How will I feed my family? For many, just thinking about these worst-case scenarios can be paralyzing.
I financed several start-up restaurants when I was in the commercial mortgage banking business. All of the non-franchised restaurants failed within the first two years. So I studied the restaurant failures to better understand what it takes to underwrite them successfully.
The law eases restrictions for small businesses to raise capital, most notably through the introduction of equity based crowdfunding, the process of aggregating small individual investments to meet a larger financial goal for a small business.
With small-business lending at banks at its lowest point in more than a decade and venture capitalists only willing to offer term sheets for billion-dollar market opportunities, we're seeing revenue-based finance make a strong comeback.