Community > Forum > Perception, Barriers & Regulation of Privatized Space Travel > Ways to Raise Capital for a Private Space Company

Ways to Raise Capital for a Private Space Company

Posted by: idiom - Tue Dec 09, 2008 8:05 pm
Post new topic Reply to topic
 [ 26 posts ] 
Ways to Raise Capital for a Private Space Company 
Author Message
Space Station Commander
Space Station Commander
avatar
Joined: Fri Sep 05, 2008 9:29 pm
Posts: 712
Post    Posted on: Tue Feb 03, 2009 7:07 pm
Samuel
Sure, Get your sign ready! :) Seriously, fire away.

Monroe
Team Prometheus

_________________
Today's the day! We go into Space!


Back to top
Profile
Moderator
Moderator
avatar
Joined: Sat Jul 18, 2009 9:55 am
Posts: 10
Post Re: Ways to Raise Capital for a Private Space Company   Posted on: Tue Jul 21, 2009 1:58 am
Here is a way to raise money for a private space company-

I run a space non profit (Marsdrive) and I get emails all the time from people asking me "When can I go into space?"

I'd love to be able to offer them something (more than theories and words)but I can't. But here is an idea-

While private space companies can't tell everyone what they are doing and need to protect their ideas, a non profit company CAN reach out to the public for support IF we have something spectacular to offer the public.

So let's say we offer 2 sub orbital tickets to 2 randomly drawn paying members. (or it could be more or other offerings). In return we provide X percent in revenue generated back to the private space companies that have offered this deal. It gives them a new source of funding AND because a space advocacy group is running it, we will ensure the public get more excited and involved- including heading volunteers into the private space sector, so it's a win win for all.

It also strengthens a private space advocacy group and gives this sector another strong voice. It can even help prepare a market as the public begin to get more exposed to the idea of personal space flight.

For example- You have The Planetary Society that claims 100,000 members. That is about $3 Million a year. A lot of that is used to pursue political lobbying or their own research. But imagine if you had a group that size dedicated to the private space sector? Suddenly you have a new source of revenue. Not alot, but it could be enough to help the small start ups get over some early bumps for example. Plus it creates a powerful lobbying group for this sector, something we need if we are to be taken seriously (and something investors would take note of).

_________________
http://www.marsdrive.com


Back to top
Profile WWW
Launch Director
Launch Director
avatar
Joined: Thu Sep 03, 2009 9:03 pm
Posts: 11
Post Re: Ways to Raise Capital for a Private Space Company   Posted on: Thu Sep 03, 2009 9:26 pm
Hi, quick intro.

I'm Will Baird. The team leader of Team Phoenicia, the aspiring LLC and GLXP team.

Having gone around the bend several times with the VCs and having something mildly space related, let me tell you exactly what you need to raise money for a space company.

A fully functioning company with customers or an excellent reputation as a successful entrepreneur.

You shouldn't be competing with an established base. One VC recently gave me an example. If you are doing a better Google. you're not going to get funding. Reason being that from their experience, the VCs see that whoever comes to market first ends up with an 80% share. They don't want to invest their money in the also-rans.

So, if you want to take your company to raise money, you're going to have to work out of your garage and self fund for a while. It's possible to do. It just means busting rumpus maximus. Spending your hard earned cash. etc. It especially means that you need to find a niche within the aerospace world and expand it. Saying, "I want to build rockets! And Go to the stars!" ain't gonna cut it.

What are you guys trying to do, if I may ask?

Will Baird
Team Leader
Team Phoenicia


Back to top
Profile
Moon Mission Member
Moon Mission Member
User avatar
Joined: Fri Jan 09, 2004 11:52 am
Posts: 1375
Location: Exeter, Devon, England
Post Re: Ways to Raise Capital for a Private Space Company   Posted on: Thu Sep 03, 2009 9:36 pm
Will, welcome to the Space Fellowship! :)

_________________
> http://www.fullmoonclothing.com
> http://www.facebook.com/robsastrophotography
> robgoldsmith@hotmail.co.uk


Back to top
Profile WWW
Launch Director
Launch Director
avatar
Joined: Thu Sep 03, 2009 9:03 pm
Posts: 11
Post Re: Ways to Raise Capital for a Private Space Company   Posted on: Thu Sep 03, 2009 9:46 pm
Thank you, Rob.

I found you through technorati's link. I deeply appreciate the post echoing our post for people to buy space on our tanks.

Back to the subject of the thread, the only reason that we of Team Phoenicia have had any success at raising sponsorships has been through beating on doors. A LOT of them. Part of the reason we have been successful is the reputation thing again. Look at our day jobs: Lawrence Berkeley National Lab, Sandia National Lab, White Sands Missile Range, Stanford.

Even so, we need more than what we've raised.

Will Baird
Team Leader
Team Phoenicia


Back to top
Profile
Rocket Constructor
Rocket Constructor
avatar
Joined: Sat Jul 10, 2010 3:59 pm
Posts: 5
Location: Huntsville, Alabama
Post Re: Startup   Posted on: Sat Jul 10, 2010 5:23 pm
mcneillt wrote:
Someone had mentioned actually making some hardware before requesting funds. I think that is the way to go. I am working on a start up as well but we will not seek any type of outside funding until we have some harware.


I wholeheartedly agree. Having been a co-founder of a hugely successful startup, it is the only way I would do business. I would never solicit funds from an investor or customer without some kind of working hardware prototype in hand. I've seen others find investment without a prototype but the effort, time and perceived risk involved is too much for my preferences.

The startup I co-founded in 2007 was bought out in 2008 and currently has two interested buyers but the current owner does not wish to sell.


Back to top
Profile
Spaceflight Enthusiast
Spaceflight Enthusiast
avatar
Joined: Sat Oct 16, 2010 11:50 pm
Posts: 1
Post Re: Ways to Raise Capital for a Private Space Company   Posted on: Sun Oct 17, 2010 3:13 am
Hey there. Just found this forum and glad I did. This is specifically the issue that I have been thinking over. Allot of ideas are constantly running through my head about space and believe you me put me way up there on the list of those that are excited about the prospect of the Galactic Age knocking on our front door. But getting there and how to get there is the rub. Bare with me a second please because I have a question on your opinion at the end of this. Money is simply one facet of the equation. Who's going to use that money is even more important. Government is necessary but although they can be good at protecting they are not always open about sharing. (I don't think that comment needs to be viewed as biased just practical thinking.) Now corporate on the other hand is a huge powerful creature with the ability to move mountains and usher in further progress but with a slight nudge in the wrong direction, instead acts as a massive hindrance to progress. Our computer processors for example could be much further ahead (as only one small example)but instead the market limped along because there was no competition until AMD appeared, then shock of shocks within three weeks Intel suddenly had massive breakthroughs that kept them neck and neck with AMD. In basic Intel was naturally as I like to say "Milking the market" for all it was worth. Great for them but hindrance to the rest of us and the computer world. The comments above (although valid) leave out one major factor. The people. That is where the power is to issue in the Galactic age. What I believe is the key to making things happen is to find those that we could trust enough to keep us in the know and involved and included and work to make our vision a reality. So now your opinions please. Although I am far from wealthy, in accordance with someones statement above, what can I do is the question. I have flight benefits because I work in the airline industry. (A ramper to be exact)Following progress on the internet is one thing but seeing locations and in video listening to people in charge answer questions give a whole different perspective. What if I could use my flight benefits and start visiting these companies? What if I could request of them the chance to take videos and personally ask them questions, my questions and others that people voice? Then give back to all of you that information. Why? I believe that if a company was found that would support its supporters and work with them as stated above, then all of us that aren't wallowing in mounds of cash could get behind someone and through our combined efforts do far more and progress far faster into the future then even a mega corp could achieve. I know this much, I get annoyed having to sit on the sidelines and watch. I would love to be a part and take part. What do you all think? Could I get your input in my thoughts and plans?


Back to top
Profile
Spaceflight Enthusiast
Spaceflight Enthusiast
avatar
Joined: Tue Mar 20, 2012 4:48 pm
Posts: 4
Post Re: Ways to Raise Capital for a Private Space Company   Posted on: Tue Mar 20, 2012 5:59 pm
fromthesahara i like your thinking. i have been working on a project that would need massive funding, i know i have a crazy amount of work regarding that funding. my project is based around a space elevator tower. NASA is pumping bucket loads of money into the space tether elevator and i think it will not get passed for human use. the price to build their tether is at 40billion USD and climbing. they are working on a material that might never be found and that is only one hurdle they need to jump. my design is made of very common materials and the tech involved is large but basic. the only thing stopping me is money. why are so many putting in any money or effort into rockets to launch from or land on earth when so many are looking at doing away with such out dated methods. NASA believes that people would be willing to pay money to climb a 62,000km long ribbon that is 1mm thick and we all know it sounds great but no one will trust it. they can say what they want but ask anyone if they where on a 10km high cliff on one side of a canyon and the bridge was 1 mm thick would they pay to cross that bridge. i have asked hundreds and all laughed and said never.
i contacted NASA to ask them to look at my design and they are not interested. i read a paper from NASA and in that paper they believed that a tower would be the best option for the space elevator but the construction method problem could never be solved. I have solved the problems but they don't care, they have pumped so much money into the tether that they are now blinded. They have the biggest record for wasted funds in projects that have never or will never return any revenue so they don't want the tether to be added to that list of money pits.
i have decided to put together a small site for people to vote on which design they would use and feel safer using. i am also offering people the option of investing big or small. my goal is to do something that no other company is trying to do, make space travel that is affordable and not only for the super rich. 20 million for a space holiday is crazy, my design would cut that to as low as 20,000 USD but i would be able to offer viewing trips for less than 1,000 USD. If i got 15,000,000 people to invest 1000 USD in a pre-booking investment system, then i could make it happen, you get a viewing trip to the top of the tower and because you helped you get some of the profit and say. The tower would be able to allow for 18,000 viewings per day without any flights to start, when flights became an option the revenue would be massive. 2billion USD would be enough for me to build the tower to a height where it would get world interest and also TV deals and more, so i would really only need 2 million people to act rather than talk about making space travel a real option for the public.I am not finished my site so i am not posting a link yet(its only a free yola site but it will do for now). i have wrote this post to ask what people think of this as a way to get funding. i understand its strange but why not.


Back to top
Profile
Online
Space Station Commander
Space Station Commander
User avatar
Joined: Mon Dec 18, 2006 11:15 pm
Posts: 879
Location: Columbus, GA USA
Post Re: Ways to Raise Capital for a Private Space Company   Posted on: Sun May 20, 2012 1:14 pm
More and shorter paragraphs. And pictures.


Back to top
Profile
Space Walker
Space Walker
User avatar
Joined: Tue May 15, 2012 4:32 am
Posts: 207
Location: Melbourne, Australia
Post Re: Ways to Raise Capital for a Private Space Company   Posted on: Wed May 23, 2012 9:21 am
MarsDriver wrote:
Here is a way to raise money for a private space company-

I run a space non profit (Marsdrive) and I get emails all the time from people asking me "When can I go into space?"

I'd love to be able to offer them something (more than theories and words)but I can't. But here is an idea-

While private space companies can't tell everyone what they are doing and need to protect their ideas, a non profit company CAN reach out to the public for support IF we have something spectacular to offer the public.

So let's say we offer 2 sub orbital tickets to 2 randomly drawn paying members. (or it could be more or other offerings). In return we provide X percent in revenue generated back to the private space companies that have offered this deal. It gives them a new source of funding AND because a space advocacy group is running it, we will ensure the public get more excited and involved- including heading volunteers into the private space sector, so it's a win win for all.

It also strengthens a private space advocacy group and gives this sector another strong voice. It can even help prepare a market as the public begin to get more exposed to the idea of personal space flight.

For example- You have The Planetary Society that claims 100,000 members. That is about $3 Million a year. A lot of that is used to pursue political lobbying or their own research. But imagine if you had a group that size dedicated to the private space sector? Suddenly you have a new source of revenue. Not alot, but it could be enough to help the small start ups get over some early bumps for example. Plus it creates a powerful lobbying group for this sector, something we need if we are to be taken seriously (and something investors would take note of).


I have finally found what i was looking for.

It seems there are at least 2 "crowd funded space programs" out there.

Marsdrive, and then the planetary society.

So why haven't anybody in this forum shut me up the moment i showed up with these two links? :D

Also why haven't anybody on space.com shut me up with those links?

It would have saved a lot of people from annoyance.

Anyway.

I also think that crowd funding could become a serious source of funds. There are several problems though that seem to be in the way.

I guess the major one is gathering a large enough crowd. It seems globally we don't have enough space enthusiasts, and they are also divided up into being active in all sorts of different circles.

We need to "make" more of us.

Also we need to somehow gather all of us into one spot, and make it possible for any fledling "space enthusiast" to find us easy.

Then we need to figure out a way to efficiently collect, and sufficiently concentrate the funds towards specific goals. Even if we manage to gather 1 million space enthusiasts across the globe, if our attention is too dispersed across the fields, the funds might not be as effective as they potentially could be.

So has this been achieved yet?

Am i missing some more websites/organisations?

_________________
"SCREW THE RULES, WE HAVE MONEY!"
http://www.freespaceships.com


Back to top
Profile WWW
Space Station Member
Space Station Member
avatar
Joined: Sun Dec 30, 2007 6:16 pm
Posts: 335
Post Re: Ways to Raise Capital for a Private Space Company   Posted on: Thu Apr 11, 2013 11:11 pm
There's always the Ares Technology Corporation route, of starting a company that uses non-space sources of revenue to fund itself, at least initially. It's what I'm planning on doing. You start a non-space business that's not capital intensive - say, something internet-related - and use the capital generated there to get the space company going.


Back to top
Profile
Display posts from previous:  Sort by  
Post new topic Reply to topic  [ 26 posts ] 
 

Who is online 

Users browsing this forum: No registered users and 9 guests


© 2014 The International Space Fellowship, developed by Gabitasoft Interactive. All Rights Reserved.  Privacy Policy | Terms of Use