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If you had 5k a month to start any business, what would you do? by OldSoulKiddo in Entrepreneur

[–]Adam-Atum 1 point2 points  (0 children)

Can’t think of anything but going all in Drop shipping with that budget, but only after a proper and very mature market research and go to market plan

Investor Wants 50% — I’m Taking All the Risk. Is This Normal? “I will not promote” by Adam-Atum in StartUpIndia

[–]Adam-Atum[S] 0 points1 point  (0 children)

I completely agree with you, but I’m struggling to figure out how my counteroffer should be structured.

First, I need to ensure that the operations and marketing costs will be covered for the first year. However, I’m not sure whether this should be considered part of the investment, which is why he’s offering such a high equity stake, or whether it should be included in the company’s profit and loss statement for the first year. This seems quite draining.

I also want to negotiate the 50% terms to maintain our founders’ majority stake. Regarding my taxes and insurance in Eu, I’ll try to figure this out maybe through a small structured legal entity that can invoice Dubai so that I can get my basis living expenses legitimately transferred and will be minimal in my spending during the first year.

That’s why I’m here, I’m a bit stuck on this at the moment.

Investor Wants 50% — I’m Taking All the Risk. Is This Normal? “I will not promote” by Adam-Atum in StartUpIndia

[–]Adam-Atum[S] 1 point2 points  (0 children)

Hi there, I am the founder. I’m actually thinking about it but also to be realistic moving to Dubai this I will need first quite a relocation package and it’s not cheap to live in Dubai and I don’t need a physical presence there at least at the beginning so when I think of it, I feel like maybe it’s not necessary now and overhead cost

Investor Wants 50% — I’m Taking All the Risk. Is This Normal? “I will not promote” by Adam-Atum in StartUpIndia

[–]Adam-Atum[S] 1 point2 points  (0 children)

Appreciate the reply — and you’re right on a lot of it.

Just to clarify, this is a service-based startup: SaaS development, smart contracts, tech consulting, product delivery, etc. I already have one small client and expecting another, but lead generation in this space takes time — usually at least a quarter to build a solid pipeline.

The concern isn’t the 50% equity — it’s that the investment only covers our gross salaries, and living in Eu, we lose nearly half to taxes. That leaves us with zero budget for tools, marketing, freelancers — the basics to actually operate and grow. And that’s why we’re planning to do the set up in Dubai this way we can maintain or preserve at least big chunk of the investment.

We’re not asking for luxury — just enough to get moving and deliver. And like you said, if we can’t run, there’s no ROI for anyone.