A new venture capital firm is looking for a few — one hundred in the first five years — entrepreneurs from the recent crop of former students and people their age. Gen Y Capital Partners is looking for investment opportunities — “For Gen Y, by Gen Y” — to help start-up businesses grow.
Any entrepreneur in the appropriate age group should consider this offer. The firm will pay your student loan debt for three years and eliminate your everyday expenses by providing a living space for you on a great university campus like Princeton University. Not having to worry about student loan bills and living expenses allows a young entrepreneur to focus solely on building a business from the ground up without financial distraction.
There has been a trend lately of encouraging the fostering of entrepreneurs from the corporate world. With few job opportunities and an economy where companies are under pressure to produce more with fewer resources, workers are frustrated with corporate life and some leave that world behind in favor of working for themselves. Recent college graduates are faced with a tough job market for someone with little experience and are turning to living at home and trying to determine their next steps. The time couldn’t be better to foster the independent approach that, when successful, can be financially and emotionally rewarding.
The entrepreneurial path isn’t for everyone, and I take issue with articles and gurus that suggest that every individual could solve their financial concerns by becoming making their own passion or interests a full-time job. Being a successful entrepreneur requires personality traits that not everyone is interested in fostering. But for those who are likely to succeed in building their own business and are within the target age group, Gen Y Capital Partners is worth a look.
In order to receive this funding, an entrepreneur and his or her business must meet several qualifications.
- A solid management team with business knowledge.
- A scalable business model.
- Existing paying clients.
- A likelihood that potential competitors are limited.
- A defined exit strategy.
Gen Y Capital Partners are also offering peer mentoring. Mentoring is one of the most beneficial methods of improving your human capital measurement, and can have real results when building a business.
Here is how the application process works, according to Scott Gerber, founder of the Young Entrepreneur Council and Gen Y Capital partner:
When people go to www.GenYCap.com and they go to the “Apply” section, they’ll be asked to supply their executive summary, and they’ll also be asked if they want to submit an up to one-minute YouTube video pitch so they can be seen and heard about their business along with some basic information. Starting in 2012, we’ll begin consideration on which businesses we’ll invest in… The average investments will be between $15,000 and $50,000 plus the loan reduction, and in select ventures we’ll invest up to $250,000… Our investment company will take an equity percentage based on the business and the investment that we make.
For a start-up business, $50,000 could be a sizable investment, and the elimination of student loan obligations and living expenses can make that investment go further.