Based on the material covered in this chapter, what questions would you ask the firm’s founders before making your funding decision? What answers would satisfy you?

Business Idea: Create a hardware device that makes it easy for people to use credit or debit cards to leave tips for service workers or to donate to a nonprofit organization, such as the Salvation Army or the public library.

Pitch: Most people don’t carry much cash anymore.

Instead, the majority of Americans rely on credit and debit cards to make purchases. This change makes it harder for people to spontaneously tip service providers or make donations. This is a problem in the restaurant industry in that the move away from cash has caused tips to go down. In some settings, it’s nearly impossible to tip without cash. For example, most people tip the bell staff of a hotel if they hail them a cab. It’s impossible to do that if you don’t have cash. Similarly, it’s hard to make small donations if a person isn’t carrying cash.