Originally Posted by
Petit-Lion
There are techno-scams, and there are technical dead-ends. Investing beyond your knowledge is gambling, so don't complain.
I have seen that a lot: equity investors structured in incremental categories
first come the government grants and sponsorships
then come the angel investors (and the kind, crowdfunding +++), they will group up to 20 millions, for a project without proven potential, mostly on gut feeling.
finally comes the venture fund: in the 200million per round investment category, they have experts on staff, and will not invest without their blessing.
when a project like that (with a fundamental technical handicap) comes to the last stage of financing, that is usually where they fail: because the smart money is not moving to them.
I am not saying the lower stage investing is stupid money, they just work with a different value system and a different reward system.
I have been brainstorming that in the context of the HX50 project, (not saying it has technical handicap as in this case) but if they would need 200+ million, could they get it...