When trying to raise money for a new venture, you’ll probably first go to friends and family (i.e. sometimes called “family & fools”). The following material has been prepared for entrepreneurs who will be going to this group. However, if you’re calling on your grandmother, these rules will probably not apply.

Here are some inside tips on what investors look for when making a decision to fund a company. Investors love to provide “growth capital” to a company rather than “seed capital”. Find out why.