Cerberus Den

= About Cerberus' Den = A Tv Show/Business were Entrepreneurs pitch for investment in the Den from the Cerberus Millionaires, three venture capitalists willing to invest their own money in exchange for equity. The Millionaires look forward to getting richer but also they look forward to helping the city of Los Santos grow and give more opportunities to small business owners in the city.

Rules of the Den
Like any good institution, Cerberus' Den relies on rules. Without these, the Den would be a much more chaotic place. LSBN alongside Deputy-Mayor Dreah Johnson will often refer to these rules during his commentary. Here are the basics - the eight golden rules that shape presentations and negotiations.

RULE 1: THE PITCH

Entrepreneurs must start the meeting by stating their name, the name of the business, the amount of money they are pitching for and the percentage of equity they are willing to give away in their company.

They must follow this with a pitch of up to three minutes. If it exceeds three minutes, Cerberus can stop entrepreneurs at any point but they cannot interrupt the initial pitch.

RULE 2: THE Q&A

Entrepreneurs DO NOT have to answer all the questions asked, but what they do or do not choose to answer may affect the outcome - for example, if they refuse to reveal net profits. They may ask Cerberus any questions that help them determine whether they are suitable investors for their business.

It is important to note that anything that is discussed in the Den can be potentially broadcasted.

RULE 3: OPTING 'OUT'

Entrepreneurs' time in the Den is over after all three Cerberus have declared themselves 'out'.

Also, once a Cerberus has declared himself 'out', they could re-enter negotiation on the deal as they make the rules, but if OUT and have no compelling reason to re-enter, they should remain quiet and leave the others to pursue the negotiations.

RULE 4: INVESTMENTS

The entrepreneur must secure at least the total amount they have asked for at the beginning of the pitch.

If a Cerberus offers less than the full amount, the entrepreneur must try and make up the total by securing an investment from one or more of the remaining Cerberus.

Each entrepreneur could leave the Den with at least the full amount they asked for, or more, or they exit empty-handed.

The entrepreneur can negotiate more money than was originally requested, as this is usually to redress the sticking point of an entrepreneur giving up more equity than was initially offered.

RULE 5: MULTI-CERBERUS INVESTMENTS

Each Cerberus is working as an individual investor it will all overall fall under the Cerberus Investment umbrella. Cerberus can invest as little or as much of their own money as they want. It is up to the entrepreneur to persuade them to match the required investment or pledge to invest a portion thereof.

As above, it is acceptable for the entrepreneur to seek investment from more than one investor in order to make up the total amount required. A full investment may involve between one and five parties.

RULE 6: REFUSING INVESTMENT

An entrepreneur can refuse investment from a Cerberus if they think they are an unsuitable investor or the deal on the table isn't right for them.

RULE 7: THE DEAL

The deal agreed on the day is an unwritten agreement that depends on due diligence checks, and relies on the integrity of both investor and entrepreneur to freely enter the transaction and be fully committed to seeing it through.

However, the deal is solely between the Cerberus and the entrepreneur and after additional meetings, if an agreement cannot be reached, neither party is legally obliged to complete the deal.

LSBN and Mayor of Los Santos Office remain impartial, as they cannot be involved in the business contract between the two sides.

RULE 8: THE ADVOCATE

Entrepreneurs are permitted to have an advocate on standby in the Den, to help them answer some of the Cerberus' questions. This advocate must usually be someone who is directly involved in the business. They can ask the Cerberus to meet their advocate at any point after the three-minute pitch.