Tech Bones

[Comment: I received the following from Wally Kinney, a friend who I highly respect. In his capacity as Chairman of the Audit Committee for the Texas State Securities Board, Wally is extremely knowledgeable about investing. He felt the following information was well worth sharing, regardless of whether you live in Texas or not. After reading it, I agree wholeheartedly.] SECURITIES COMMISSIONER WARNS ENTREPRENEURS ABOUT POTENTIAL HAZARDS OF RUSHING INTO ‘CROWDFUNDING’ AUSTIN, Texas - Securities Commissioner John Morgan today urged small businesses and entrepreneurs to be aware of the potential regulatory pitfalls in "crowdfunding," an online money-raising strategy sanctioned by the federal Jumpstart Our Business Startups (JOBS) Act. Through crowdfunding, individuals will be able to invest in start-ups through a broker-dealer or a "funding portal," which is a website that advertises the investment offering and facilitates payment from investors to the company i...

What seems like a lifetime ago, but in reality was only a generation, when Saturday Night Live was in its prime, Eddie Murphy portrayed a character named Velvet Jones. As an entrepreneur, Velvet offered instructional books on several subjects. In an SNL sketch titled the "People's Court," Velvet was forced to defend one of his books against accusations that it did not deliver sufficient instruction to achieve success. Velvet Jones on the People's Court (NBC's Saturday Night Live - Season 7, Episode 9 - 23 January 1982) When I read pitches for co-founders or chat with people who believe they have the idea for the next great startup, the image of Eddie Murphy comes to mind. While I admire their enthusiasm and encourage their pursuit of the dream, I sense these potential entrepreneurs have skipped a few chapters along the way, trying to jump from the premise of having an idea to counting their first million. If only they would take the time to re-read the book...