How would you get investors on board?
If you have a new venture (only 3 months old) in helping kids, how would you suggest going about seeking investments and sponsorship, when there's no start-up capital?
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May 19, 2014
be differ build your quality control quality over quality
this will attract more investors to your venture
best regards
May 19, 2014
With no startup capital, it is difficult. Having said that, if you have spent time on creating an offering, that is your investment. Investors are risk averse and they want scale. Must create a proof of concept and project scalability.
If you need capital for the very first pilot project, you may have to present the big picture for second stage funding but for the pilot you may want to address their risk by guarantee of capital protection with some minimum acceptable return. This needs some evaluation of a minimum return from the pilot in the worst scenario.
May 18, 2014
Investors, in the words of Will Rogers are interested in: "It's not the return on my money that worries me the most...it's the return OF my money."
You may have the most wonderful idea in the world, but if you want to attract investment you must concentrate on how your idea, activities, company will generate revenue that can secure the investors investment.
Keep in mind that what your doing, in looking for investors, is SELLING your self and your ideas. Sales is a numbers game. You must be ready to talk to lots and lots and lots of people. Many of them will not like either you or your idea. Most of them will not be nice about telling you what they don't like if they respond at all. It doesn't matter...keep going...hone your pitch, practice on real people, never give up...eventually you'll find the right person or group.
Send me a note and I'll send you a copy of the "Validating Your Vision" worksheet. It will be a significant help in developing your understanding of what an investors needs to know and hear from you to become comfortable investing in your "vision".
May 20, 2014
Thanks, I would definitely take a look at the worksheet to have more clarity as to where I need to go next. Greatly appreciated.
May 17, 2014
Without any money there isn't much you can do. You should have developed a break-even analysis to determine how much money you have to generate for one year just to break-even. With that analysis you need to put together a business plan so that an investor can understand what your plan is and make a determination as to whether or not they feel that (1) you have a viable value proposition and (2) when they might expect a return on their investment?
May 17, 2014
You can start by making a brochure with a company profile. As an entrepreneur, you have to have a success line in that field, and sponsorships and investments follow on good credentials.
May 16, 2014
The best way to get investors on board is to first provide full details of what the investment is. Great packaging is advisable and do not fail to detail the whole risks involved in any investment. Investors hate when any detail is hidden. then to get investors when you are ready with the above, clearly state and emphasis what the investor will get as a minimum. Your emphasis on what they will gain is always the most important. Many investors and partners in any business will support or invest if they are sure of what they will get or gain instead of helping you out of pity or sympathy. Most businesses seeking investor always forget to home the compulsory home work of detailing the whole investment and starting categorically what an investor will gain. Many are lured into business because of what they will gain and not necessarily keeping their funds invested.
May 16, 2014
Hi Esther,
In a situations like this, I have always find the relevant middle mans to help on this. Middle Mans are the people who has the right network connections for your venture in order to get investment and sponsorship.
Considering your venture related to the kids, you should be able to find such a people in Voluntary organisations or government bodies. Once you find the right person with good contacts then you can explain your future plans and draft a simple investment plan for the funders.
You can also get help from Chamber of Commerce in your area to find investors or funders for your organisation.
May 16, 2014
show Investors a ready to market viable product or service or solution and they will Invest
That is what they look for!!!
May 16, 2014
Since its only three months old your only way to get capital is only by convincing friends & relatives , you have to explain to them the whole procedure of your business , sharing with them , there are many investors who wish to invest their money , but its up to you to show them the work & the expected return , If its worth they will participate your business .
I am actually doing that now, thanks