The Road to Financing a Startup

The Road to Financing a Startup

Noodle Companies Real Time Cases
September 01, 2017
SKU: RTC-282

Region of the world: North America
Topic: Entrepreneurial Finance, Financing startups with non-conventional structure
Keywords: Real Time Case
Price: $11.00 | €0.00
Distributed by the Global Jesuit Case Series
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An experienced founder in the education space, John Katzman laments that the best practices for startup financing don’t easily apply to Noodle, given its studio structure as a company of companies. John is fond of saying “The place to get clever is the business model and the team, not the financial structure.” Noodle is quite clever; it plays in K-12 and Higher-Ed; B2C, and B2B; it is a studio of management teams across education that risks spreading itself too thin if done poorly. And still, VC or Angel investors don’t typically invest in a company of companies; they want to invest directly in a single CEO and business model. So how should John look to finance Noodle Companies in the future beyond his own self-funding? Is John overlooking potential in the universe of High Net Worth individuals and other unconventional funding paths? Is this idea of a studio doomed, or can you figure out a financing solution? Or, is John’s best path simply to pursue individual financing for each of the first three Noodle companies independently of the parent?