By Marzena Czarnecka
Innovequity founders Ben Bertrand and Mark Holtom pulled together $2.3 million in financing. They’re on the hunt again, and this time it’s for human capital.
Every investor Innovequity contacted had the same reaction to their innovative Geometric Construction machine: “Interesting idea. So, have you guys done this sort of thing before?” Ben Bertrand and Mark Holtom, the 20-something founders, had built and run their own businesses before, but nothing on this scale. They needed depth on their management team.
“We didn’t know who we wanted, but we knew what we needed,” says Holtom. Along with extensive business experience, they wanted someone who knew the construction industry and, Holtom adds, “someone who had credibility with investors and who could contribute to the strategic thinking of the company.” Not to mention someone willing to work for virtually no money.
Equity investor WebbCo International connected them with Sumex finance expert Greg Spicer, whose resumé included a stint at Winalta, a construction company. Their second find was Cameron Schuler, an executive-in-residence at TEC (Technology, Entrepreneur and Company Development) Edmonton. Schuler helps with financial forecasts, business procedures and building Innovequity’s strategy and ever-evolving business plan. Now Innovequity had both financial and human capital.
Pay-Per-Use: Innovequity pays $750 for one day with Cameron Schuler. “That’s a note that keeps on accumulating, and at our next equity raise, TEC Edmonton will take the highest valuation and convert our debt to equity,” Holtom explains. Say they use Schuler for 100 days. That’s $75,000. TEC then gets the equivalent of $75,000 shares in Innovequity.
Cash and Carry: Innovequity compensates financial exec Greg Spicer with a combination of cash and equity, tied to certain milestones and mutual expectations.
Our panel of experts weigh in on Innovequity’s approach to sourcing funds, point out red flags and offer suggested next steps
Innovequity’s Mark Holtom reflects on the project’s challenges, surprises and what he would do differently if he could go back in time.
HR expert Tammy Sturge of HR Transformations on what hiring and firing basics entrepreneurs should know.
Our roundup of useful links for start-ups from around the web
Category: Work
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