Episode Spotlight
Tim Marvin of Westlake Village, California knocked on more than 100 doors before one opened with $5 million in bridge capital.
Jeff
and Rich sat down with Tim recently to hear the story of how he landed
the startup capital needed for an energy drink. Tim’s first step was
visiting StartupNation.com, where he found a list of angel investors
and private equity groups and the “10 Steps to Open for Business,”
which guided him through the process.
And so it begins. Tim
spent hundreds of hours searching the Internet for the names of
companies who had invested in related industries. After being rejected
numerous times, he was eventually referred to a private equity firm in
Chicago, which provided the bridge funding he was looking for.
What’s
the lesson in all this? First of all, don’t expect the money to come
easy. It takes strategy and perseverance. Secondly, there is often
opportunity in numbers – the more investors you present your idea to –
the better chance you have of finding the funding. Tim also shares the
four essentials that contributed to his success:
- Be prepared to explain what distinguishes your product from others in the same industry
- Have a solid business plan that shows investors how every single penny will be spent
- If an investor turns you down, ask for a referral to another
- Furnish potential investors with resumes and credentials of the key management and employees who will operate the business
As Tim Marvin can attest – pounding the pavement pays off – creating a smooth road to opportunity.