Howard Popeck of 2MuchTalk reflects on a decision that turned out to be the making of his last company, Cognisco.

Howard Popeck, founder of software company 2MuchTalk, reflects on a decision that turned out to be the making of his last company, Cognisco.

After Cognisco was set up in 1998, I developed and patented an online assessment system for testing candidates based on their knowledge rather than their memory.

But my co-founder and I had no money, to the point where our mortgages went unpaid and I was confronting a 28-day possession order on the family home.

In February 1999, we were approached by a venture capital firm offering to buy my proprietary system for £100,000. I rejected it, convinced that we would get a better offer from a business angel. This was a hard decision to make as my co-founder was enthralled by short-term gain and was unconvinced about business angels.

Fortunately, the first private investor we spoke to valued my concept at £10 million and purchased 2.5 per cent for £250,000.

Howard Popeck was formerly head of innovation at Cognisco.