Successful entrepreneurs want to prove to themselves that their success wasn't a fluke. They want to prove to everyone else that they are smarter than average bear. This emotional baggage and odds against s success ensure they will eventually fail.

Angel investors should not ask: "How much can I make from this speculative investment? Rather they should ask: "How likely am I to lose my risk capital?"

If odds of loss are greater than one or two percent, no matter how attractive investment, they should keep their wallet in their pocket. At least one Venture Capital Club, Global Village Investment Club (GVIC) runs on this philosophy and appears to be thriving. While most Venture Capital Clubs are in process of dying or have already been buried. If any reader wants to contact GVIC, email me at: Beowulfinvestments@Yahoo.com

The Venture Capitalists' Secret Formula To Investment Failure

Venture Capitalists argue that an investment formula based upon two winners, two losers and three breakeven investments is profitable. That their staff based upon staff's education at prestigious schools and firms' investment experience ensure success. It isn't so. You need only compare a directory of VC Firm from a decade or more ago with a current directory to see that there has been a steady death rate in industry.

What's wrong with their math is assumption that education and experience can overcome odds of 1-in-100 against a winner. There are too many variables to be offset. It's been my experience that role of staff is more in finding accredited investors than in finding successful startup companies. Experience has more to do with raising risk capital than in making a profit. A couple of very successful investments can carry firm for decades on risk capital of later investors who hope or expect to see a profit. If Venture Capitalists were consistently successful, they wouldn't always be searching for new blood to fuel financial demands of company.

The Conclusion

Ask not how much money you can make from a speculative investment, but rather how likely you are to lose your risk capital.

To contact author visit: [http://home.earthlink.net/~beowulfinvestments/] [http://home.earthlink.net/~beowulfinvestments/globalvillageinvestmentclubwelcome/]

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Debt consolidation can be a valuable tool if you know what you are doing and how you got to this point. Debt consolidation may offer lower interest rates, lower monthly payments and only a single bill to pay once a month thus making your budgeting easier.

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As you can see a consolidated loan can save you money but may not be best option available to you. The key is to shop around and do your homework. Find out what various companies offer, what kind of interest rate you should expect to pay based upon your credit rating and what alternative options you have available to you. For example you may be able to borrow from your 401K plan and you will not be charged interest on loan if you make an arrangement to repay loan with your employer. A 0% interest loan is a much better option than a consolidated loan.