As I was channel surfing one night, I came across a television show (its name escapes me at the moment) where people made brief presentations in front of venture capitalists, hoping that they would invest in their company. Some of them already had established brick-and-mortar businesses and simply needed some capital to help expand, whereas others were just getting off the ground and needed some help to get started.

Two brothers approached the venture capitalists showing off their signature barbecue sauce. Everyone who had tasted the sauce really liked it, but the two brothers didn’t have the wherewithal to take the business to the next level. They had a lot of stock and some good ideas, but no capital. In the end, they decided to sell 50% of their business for about $50,000.

It wasn’t about the money. It was about gaining the expertise and experience offered by the venture capitalist. Since that partnership was forged, the brothers have gone on to open at least two barbecue-oriented restaurants featuring their sauce. They have also managed to get their sauce into huge grocery stores and even Costco. Without the venture capitalist, these connections could not have been made.

The business is worth much more than $100,000 today and some people may disagree with their decision to sell half at $50,000, but this was viewed as an important investment into a strategic partnership. If you’re looking to expand your business and you don’t know how, taking a slight loss with the right venture capitalist might be a viable option to consider.