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Attracting the Right Investors for Your Business

 
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BYTRADE

posts: 368

Dec 06, 2011 12:55 AM ET    Quote  Report Abuse
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Devise a business plan. The first step toward enticing new investors is composing a clear and pragmatic plan that plots out the future of your business. A strong business plan contains three essential elements – core concepts, a path to profitability and market competition. A strong business plan shows investors that your company has a focused direction that leads to growth and profit. If possible, try to garner some sales or written assurances from distributors to help bolster your company’s outlook.

Polish your presentation. A comprehensive and well-designed business plan will be ineffectual if it is not presented in a clear and professional manner. For technology companies, creating a prototype of your product can make it more appealing to prospective investors. Similarly, you can send a prepared video or slideshow presentation to interested investors to give a more memorable presentation than a simple meeting or phone call.

Venture capitalists. Venture capital is one way to raise large sums of cash to expand your business. Venture capital firms receive dozens of business proposals every day, so making your business stand is an important--but challenging--task. Prior research is vital in order to gain the attention of venture capitalists. Investors tend to stick to what they know, so a good strategy is to find out what kind of industries each firm tends to invest in and aim for those relevant to your own. The National Venture Capital Association offers resources and information on how best to sell your ideas to venture capitalists.

Meet angel investors. Angel investors are generally affluent individuals who provide capital for a business in exchange for equity or convertible debt. These types of investors can often play a critical role in funding businesses that venture capitalists find too risky. Unlike venture capitalists, who can usually be sought out, angel investors are often difficult to come by. Connection services are available on the web to help entrepreneurs link up with angel investors, but the most effective method is to simply get busy networking at any available opportunity.

Crowdfunding. Crowdfunding is a method for acquiring small investments through online sources, and it has become increasingly popular over the past few years. Websites such as Kicktsarter and IndieGoGo allow entrepreneurs to pitch their ideas to the public and appeal for small donations toward making it a reality. It can be an effective way of raising the initial cash needed to start a business, particularly if you’re in an industry that does not require much start-up financing, such as the arts. Added incentives, like discounts on purchases for all who donate, will encourage more investors to contribute to your business



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Global buy sell B2B trade marketplace

Estella

posts: 139

Feb 16, 2012 11:16 AM ET    Quote  Report Abuse
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In business, an exit strategy is usually determined at the outset of the business modeling. A good business plan will incorporate an exit strategy for investors, helping to show them that the model will result in profit for them, no matter what.  

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devbpo2012

posts: 30

Apr 24, 2012 12:38 AM ET    Quote  Report Abuse
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People can read the news on their phones, laptops etc. so less people are shelling out to buy newspapers when they don't have to. The hardest one to do is the quarter page as its a lot of space to fill! Banks are not too good with these things when it comes to individuals.



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Business Process Outsourcing | Call Center Services | Data Entry Company
Julie_Robert

posts: 64

May 04, 2012 12:18 AM ET    Quote  Report Abuse
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Finding investment for your business is not an easy game, But if you have good qualities then it become much easy to find a right investor for your business. I agree with your point of presentation, if you attain attention in start of your presentation then game will be your. Networking is also important for seeking investment. Be social and meet individuals who can help you in a better way.





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Global Wholesale Suppliers
Worldwide Wholesalers
May 04, 2012 8:20 PM ET    Quote  Report Abuse
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Great tips. Here are some ways to use your blog to attract more customers:

 

Getting Press - Investors will be more interested in your company if you run a reputable publication. A company blog should be a place where investors can view press about the company and provide expert voices and opinions. 

 

Read Investor Writing - One of the main objectives for a blog is to see what your investors have to say. Read other blogs within the industry and pull out any useful information to use on your own blog. Your blog should be a hub for discussion about the direction your industry is going.

 

Be Transparent - Your blog should be full of posts that provides useful information and makes its agenda clear. Don't be secretive about your intentions and provide good, honest information.

 

Carefully Choose Content - Blogs should produce the full picture of your industry. Outline the basics, but produce quality content that delves into more specific aspects of what your company does.

 

These blogging tips can help propel your business and establish your expertise in the field.



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edwarddevis

posts: 66

May 28, 2012 4:38 AM ET    Quote  Report Abuse
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Thanks for the information, it is really good to look into the investors right decision.

 

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