Hello Prasanna, I had posted a question and thought of asking you too. If a company X has 2 portals ( www.abc.com ) & ( www.xyz.com). Can company X raise funds for both these companies, if yes how does it affect the valuation of the company esp when there would be different set of investors for both the portals ( products).
From a corporate law perspective, the money is being invested into a COMPANY, not a product or portal.
From an investor perspective, they are investing in
NOT in a portal or a product.
As an investor, if you're doing two completely different things with one company, I would be very wary of investing.
Typically one startup == one line of business, one product when you start. Once you cross a few million USD in revenue, you can think of more product lines.
This is more of a corporate structuring question, so a lawyer and your investor are the best people to help you with this.
Answered 7 years ago