Recently I've been doing a lot of research on Internet start-ups and how to go about getting funding for a business. I came across a great article on a realistic entreprenuer's guide to venture capitalism. The information was found from a great site with tons of information called startupnation.com.

Here are 15 points to consider:

1. VCs like to invest in categories that they have already invested in. It may be much harder to get funding for something that has never been tried out before.

2. They want to sell as quickly and as soon as possible. These firms don't want to be partnered with the company forever.

3. Investment only comes when the product has been tested. They want proof that the project will work.

4. Outdoing the market leader by a small margin means nothing.

5. Investors are not interested in supporting your loss.

6. They are looking for successful business history in the owner.

7. Simple board meetings are preferred.

8. Curves are better than cliffs

9. Business problems are not looked to be solved with money.

10. Business employees will most likely have to be replaced if money is raised.

11. Being less than the best is not given much attention.

12. Even though VCs are elite, they know they can not fix a broken business.

13. Investors are more interested in the company than you.

14. Business plan are only dissected quickly. It is critical to get the point across easily and simply.

15. VC's are most interested in companies that don't need investment to thrive.