from Hacker News

Ask HN: I have $25,000 to invest

by blaincate on 2/7/15, 3:51 AM with 29 comments

• by jacobsimon on 2/7/15, 4:06 AM

  If you only have $25,000 in savings, please don't invest it in a startup! Until you can write a check that you're okay with never seeing again, you should invest in more conservative assets.

  Technically speaking, no private startup can legally take investment from someone who does not meet the SEC's definition of an "accredited investor." The Jobs Act was supposed to change this, but that part of it hasn't come into effect yet sadly.

• by tptacek on 2/7/15, 3:35 PM

  Read a little bit about "adverse selection". The startup investment opportunities open to you with this amount of money are likely going to be ones that savvy investors have rejected. The people telling you to put this money into an index fund are right.

• by seekingcharlie on 2/7/15, 1:55 PM

  If you only have $25k in savings, you'd be better off putting it into a low-risk ETF like Vanguard or similar.

• by smt88 on 2/7/15, 7:52 AM

  $25k in the Bay Area is NOT an amount you should invest. It's something you should save for a rainy day. Of course, savings should be put into something that yields more than a checking account, but that depends a lot on how liquid you need to be.

• by CyberFonic on 2/7/15, 5:24 AM

  Here's a different slant ...

  Why not be a technical co-founder in a startup that you truly believe in. Then use the $25k to support yourself and get the startup to angel stage quickly.

• by brudgers on 2/7/15, 6:40 PM

  The reason investment funds require $1 million in assets (and that isn't your house) is because that is what it takes for a natural person to be deemed an [accredited investor] in the US.

  Nothing personal, but $25,000 doesn't make someone even a prosumer investor. That is the kind of money a company raises in an FFF round. As a stranger, you're neither friends nor family.

  It doesn't make sense for a company with traction to take your money. It's a week of operations, maybe. In exchange they get someone without diversification and without experience writing off five figure investments. And that person gets legal standing beyond anyone can sue anyone normalcy.

  [accredited investor]: http://en.wikipedia.org/wiki/Accredited_investor#United_Stat...

• by sysk on 2/7/15, 7:59 AM

  What is the best way to reach you?

  I've been working on a Bitcoin related web-based/mobile software for the past few months and have a working MVP (Node.js, PostgreSQL, Angular stack although I'm flexible about using other technologies in the future - Go and React come to mind). I haven't publicly launched it yet (no traction :/) but I'm fairly certain there is a market for it and there are a few obvious paths to monetisation. The idea is novel, it's a white market (no direct competition at the moment) and the barrier to entry is reasonably high (mostly due to technical complexity and potential network effect).

  I'm not sure if in its current incarnation the idea could scale to become more than a "lifestyle" business but I have some ideas. I've been thinking about the possibility of getting a co-founder and funding lately. One problem I'm facing right now is that on one hand, I want to give my potential co-founder a large chunk of equity (30-50%) so that (s)he feels motivated but on the other hand, I'd feel a bit uncomfortable about just "giving away" a few months worth of labor and expenses. Having a co-founder who is willing to throw in a small investment would solve that problem.

  If you think you might be interested, shoot me an email at seekingcofounder@tempmail.de

• by coralreef on 2/7/15, 4:01 AM

  $25k is obviously a drop in the bucket for angel investors. You'll really only be able to invest in one startup with this. Maybe your best strategy would be to hand pick projects with promise and make offers to invest.

• by 650REDHAIR on 2/7/15, 11:37 PM

  What's your engineering background?

  I don't need money, but I'd still like to buy you a cup of coffee if you're free before Wednesday. Phone number/twitter is the same as my HN handle.

• by justfalcon on 2/7/15, 11:32 PM

  What skills do you have? Possibly looking for an engineer/cofounder for a media/streaming startup out of the Chicago area.

• by lcdoutlet on 2/8/15, 12:08 AM

  If you are still looking for a place to invest. I have a good business model and good references from a previous investor.

• by pearjuice on 2/7/15, 11:10 AM

  If you really want to invest it, invest it in yourself. Get a good suit. Get a gym membership. Buy educational material on a healthy lifestyle. Get a good pair of shoes. Or two. Maybe a watch. Consider upgrading your drivers license.

  25K is barely a yearly salary, don't throw it away by investing it.

• by sova on 2/7/15, 9:14 AM

  Which languages do you know and would you be willing to learn Clojure ? =)

• by bdm on 2/7/15, 3:59 AM

  To invest in a startup, you need to be an accredited investor, defined here [http://goo.gl/aoKtaz].

• by philiplindblom on 2/9/15, 10:55 AM

  or you help me build fundership.com

• by dexcs on 2/7/15, 5:05 AM

  Casino. All on Red. :)

• by Ragu on 2/7/15, 4:21 AM

  Great Idea. You can invest on Education Industry. So it never Get down.

• by Sonicrida on 2/7/15, 11:28 AM

  Do you have any interest in competitive gaming?

• by BinaryAcid on 2/7/15, 4:39 AM

  Bitcoin is low right now. Double your money in a few months.

• by viju0731 on 2/7/15, 5:56 AM

  hi, i would like to support fo this cause remotly from india regards, vijendra singh Skype ID:viju.s0731 Mobile:7049276421