[dcheong]

Hi koraybalci - thanks for commenting!

I agree with you totally and echo your sentiments. There is no one absolute right way. There is a bunch of relative right ways - some more appropriate than others. Given enough vigor, perseverance, sweat, tears, luck and timing, the right team can make most things work.

The thing which quantifies how "successful" they are is the equity they walk away with. It doesn't have to be 100% (because 100% of nothing is worthless), but you sure hope it isn't so diluted to no longer be worthwhile.

I subscribe to delaying external financing as long as possible to build up the business and maximise the mileage of the equity (ie trading 10% when you have nothing costs more than 10% when you have a healthy/profitable business).