Comparatively few companies achieve $100 million in 5 years. Here’s what you need to know, and what you should do about it.

When raising money, there’s at least one truth that’s difficult for entrepreneurs and investors to candidly discuss, even though it’s a vital factor in the decision-making process of most investors.

Imagine for a moment you’re a hungry entrepreneur who needs capital to launch or grow an exciting business. You finally connect with an angel investor that’s really interested in your deal! The angel looks you in the eye and asks, “Are you looking for smart or dumb money?”

While aspiring entrepreneurs can learn much from angel investors and venture capitalists about getting funded, 93 percent of small business funding comes from somewhere else. Somewhere that shares key viewpoints of high profile investors, but also takes many other issues into account. Things that are usually much more favorable to business owners.