We are wary about upfront fees from proven institutions and never suggest that brokers, finders or even consultants such as us, consider upfront fees to review a Business Plan or to seek funding for that Plan. In addition, NEVER agree to exclusive agreements when it comes to obtaining the capital you seek, unless it is with the investment or lender with a very clear conditional commitment for funding. Do not fall into the trap of believing great references on closed transactions, and ask yourself if this company took 100 fees to close three transactions.
Many years back, as a Principal, I discovered after-the-fact that an investment banking firm of substance, with over $100 M in closed, verified transactions in a year possibly closed one in 20 transactions at best!
In conclusion, be careful and know there is a large universe of interested investors for large plans whose priority is to fund viable business plans and not collect upfront fees.
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