djamal-soft
الأربعاء، 28 مارس 2018
Expanding a newly established business takes a lot of money. For those entrepreneurs whose business assets are primarily intangible, getting a conventional loan from a traditional financial institution or from an angel investor may not be appropriate. They need venture capital funding instead, and should consider the advice of experts.
First of all, they say entrepreneurs have to understand the difference between venture capital investors and angel investors. Angel investors are individuals or firms that fund new businesses in the form of loans or equity in the company. Friends and family often become angels for entrepreneurs. Rapidly growing businesses in need of additional funds to expand often approach investors willing to on take high risk projects, usually in exchange for a certain percentage of equity in the company.
It is not an easy process to get the attention of high risk investors. You will have to get them interested in the possibilities your company presents. If you can show a fast rate of growth with impressive profits, and explain how the market trend will continue, you could make a deal. You will have to do lots of research to find a good match for your program.
While you are researching you will probably come across companies offering to sell leads and investor databases that will ensure you find the funds you need. They might advertise that they can get the attention of the decision maker, who will read your business summary and be so impressed that you will get a call from him right away. Experts say that's not the way it works.
Bulk emails aren't the way to go either. Investors see these all the time and recognize them for what they are. Don't waste your time on a one-size-fits-all email that will fool no one, and might alienate a potential investor because you handled the initial contact badly. You should concentrate instead on the investors most suited to your situation.
There is no substitute for effective networking. You need to scour your resources in an effort to find people who have had some kind of contact with a potential investor. This could be someone mutually involved in an alumni association or a co-worker. If a decision maker, in a firm that interests you, is speaking at an event, you should make sure you are sitting front and center, then introduce yourself once the talk is over.
You will have to be smart to get the attention of one of these investors. They are inundated with requests, and only respond to a few. You need a great tag line that describes your company in a few words and a summary video good enough to get you through the door to make a pitch.
Successful businesses often start with a little idea and smart marketing. Once it takes off, an entrepreneur needs sufficient capital to keep it on its trajectory. There are professionals willing to invest big money on the calculated risk they will get a big return.
First of all, they say entrepreneurs have to understand the difference between venture capital investors and angel investors. Angel investors are individuals or firms that fund new businesses in the form of loans or equity in the company. Friends and family often become angels for entrepreneurs. Rapidly growing businesses in need of additional funds to expand often approach investors willing to on take high risk projects, usually in exchange for a certain percentage of equity in the company.
It is not an easy process to get the attention of high risk investors. You will have to get them interested in the possibilities your company presents. If you can show a fast rate of growth with impressive profits, and explain how the market trend will continue, you could make a deal. You will have to do lots of research to find a good match for your program.
While you are researching you will probably come across companies offering to sell leads and investor databases that will ensure you find the funds you need. They might advertise that they can get the attention of the decision maker, who will read your business summary and be so impressed that you will get a call from him right away. Experts say that's not the way it works.
Bulk emails aren't the way to go either. Investors see these all the time and recognize them for what they are. Don't waste your time on a one-size-fits-all email that will fool no one, and might alienate a potential investor because you handled the initial contact badly. You should concentrate instead on the investors most suited to your situation.
There is no substitute for effective networking. You need to scour your resources in an effort to find people who have had some kind of contact with a potential investor. This could be someone mutually involved in an alumni association or a co-worker. If a decision maker, in a firm that interests you, is speaking at an event, you should make sure you are sitting front and center, then introduce yourself once the talk is over.
You will have to be smart to get the attention of one of these investors. They are inundated with requests, and only respond to a few. You need a great tag line that describes your company in a few words and a summary video good enough to get you through the door to make a pitch.
Successful businesses often start with a little idea and smart marketing. Once it takes off, an entrepreneur needs sufficient capital to keep it on its trajectory. There are professionals willing to invest big money on the calculated risk they will get a big return.
About the Author:
When you are searching for information about venture capital funding, visit our web pages online today. More details are available at http://www.aayinvestmentsgroup.com now.
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