2.Can Students Afford to Put Funding on Hold?
It’s tough to put startup ambitions on hold when one is convinced of an idea that’s ripe and time-sensitive to attracting investor interest. In Rolfe Winkler’s article, “Secretive, Sprawling Network of ‘Scouts’ Spreads Money Through Silicon Valley,” he describes how venture firm, Sequoia Capital, funnels millions of dollars “to scores of well-connected entrepreneurs and academics” through scouts who looked for aspiring young entrepreneurs and their promising ideas.
Students argue that it’s hard and even foolish to swim upstream against the undercurrent of investor’s dollars that are available today and may or may not be there for the taking upon graduation.
First and foremost, startup fever and the desire to take hold of available funds must be weighed against whether or not the timing is right. Capital raised too early could lead to giving away too large a portion of equity and control. On the other hand, entrepreneurs who wait too long could endure a cash crunch as they attempt to scale.
As I wrote in When Is the Right Time to Fund Your Startup? – I recommend that founders complete these three steps before seeking outside funding:
- Make sure your business is positioned for consistent user growth
- Make sure your business offers the promise of future profits
- Make sure to develop a strategic plan that enables you to scale your business
Can Campuses Offer Real-World Preparation?
MBA and undergraduate courses on entrepreneurship are on the rise to meet the swelling interests of a generation inspired by a combination of Silicon Valley’s billion-dollar success stories and the glamorization of entrepreneurship through programs like Shark Tank. Most college students are not looking to graduate with a one-size-fits-all skillset that will slot them into long-term commitment at a single company. Besides, as proven by prior generations, students are wise to the fact that big companies can no longer offer the benefit of long-term career security. Therefore, many ask, “Why not take control and start your own business?”
Colleges and universities want to be prepared for an incoming generation of problem-solvers with the drive to find solutions and the ambition to turn their ideas into new business ventures. Today’s students are wired to make a social impact and are willing to take the business risk to make a difference. They want to know how to pitch to investors, build a successful small business, and even take a shot at becoming the next Unicorn.
The Real Question to Ask
Since entrepreneurship does offer independence and the fulfillment of dreams, we can hardly be surprised that it is becoming an important component of the curriculum on college and university campuses around the world.
Rather than trying to turn back the dial on startup fever and asking if students can receive real world preparation on campuses, the real question is this: “How will college campuses help budding entrepreneurs identify where they are in their startup journey, meet them at that point, and provide them with the resources and mentorship programs to set them up for success?”
In The Journey to Start Up: When Is the Right Time for You, I identify a Startup Readiness Framework that points to different needs during various phases of the startup journey. The Purpose Is Profit: The Truth about Starting and Building Your Own Business will be available for purchase on Amazon and other booksellers on August 2, 2016. Learn more at www.ThePurposeIsProfit.com and connect via LinkedIn and Twitter.
Ed McLaughlin is the founder & CEO of Blue Sunsets LLC, a real estate and angel investment firm based in Darien, CT. Previously, McLaughlin founded and served as chairman & CEO of United Systems Integrators (USI) Corporation, a corporate real estate outsourcing firm, sold to Johnson Controls (JCI) in 2005. In 2001, he earned Entrepreneur of the Year honors from Ernst & Young, and USI was named to the Inc. 500 list of America’s fastest growing companies. A member of the Board of Governors for Tufts Medical Center, McLaughlin founded its David E. Wazer Breast Cancer Research Fund. He graduated from the College of the Holy Cross, where he is a member of the Board of Trustees.
Wyn Lydecker is the founder of Upstart Business Planning, where she works with entrepreneurs to develop plans that answer the questions investors ask most often. Previously, she was Managing Director of Business Plans International in New York and Co-Director of the Small Business Resource Center at Norwalk Community College. Lydecker has an MBA in finance and marketing from the Wharton School of the University of Pennsylvania and a BA in economics from the University of California at Santa Barbara. She serves on the board of a local nonprofit she helped found, At Home In Darien.
- Cohort connections matter: Strategies to help graduate students persist and succeed - August 14, 2026
- Higher education needs better AI experiences, not more AI tools - August 12, 2026
- Beyond a keynote speaker: A strategic roadmap for AI in higher education - August 10, 2026