July 26, 2010
Business Investors
Are you looking for business investors? You are not the only one, but you may be the successful one. Searching for a person or organization to invest in your work is not the easiest thing in the world. You cannot just ask money from anywhere. Firstly they won’t give it to you unless you have a solid plan of action and you can demonstrate your product or services has customer traction and secondly you have to realize that the relationship between the entrepreneur and the investor is a long-term one so each one must choose wisely.
There are more than 4500 investment firms you can choose from right now and they may all be a good match, but if you want a really good match and increase your chances of success you would have to select the one who is close to you area and identify the business partner from that firm who has invested and worked in the business field you are in. This type of venture capitalist will understand better, what your company is about and if he feels he can add value he will be more willing to invest. You just have to inspire him so he can convince his partners to invest in your company. If contacting him by phone or email doesn’t work try to find a common acquaintance who can introduce you to him. This will give you the time to see if your elevator pitch is really that good.
After you get funded work closely with your new partner, as he will do it’s best to help you gain more customers and improve your services. Only about a quarter of the companies the venture capitalists invest in are highly successful and this is usually because of the manager or market conditions.
Only smart entrepreneurs who get all the steps right get the funding they need. Be the smart one, build a strong investor database and get funded quickly.
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[…] as there may be various reasons for that, possibly entirely unrelated to your business. What business investors look for is a viable, high growth business, with a good return, aligned with the fund’s […]
Pingback by How to Build a Relationship with a Venture Capitalist — July 30, 2010 @ 10:54 am
I liked your article and I agree with you that asking for money should be a very targeted initiative and finding the suitable investors is the key to actually receiving capital. Surveys show that it is getting more and more difficult for startups to be funded, so, besides coming up with an innovative idea, you should also have a very well-structured business plan and an excellent executive summary to be presented to the potential venture capitalist. It’s also true that, besides providing the necessary business capital, VCs also come up with advice and expertise in your field. You could call them “tourists” in your company, and here’s another good article about How a Tourist Can Help you with Your Startup
Comment by Mike Spears — August 2, 2010 @ 8:40 am
Hi, I like your blog very much, the articles are very useful, especially for start-up entrepreneurs.
I also started my own business one year ago, in the media field, and I found your site while looking for venture capital info. After downloading the free trial version of the software I could say and it looks very professional and easy to use. I’m going to use your database and, if you can post more advice on how to convince a vc firm to fund a business, I would be very grateful.
Thanks, Will.
Comment by will_bv — August 4, 2010 @ 4:31 am
I have a business idea to create small businesses in my area. I would love to partner with a relevant investor to share and develop my concept. Is there any one person in the whole world who can listen to me and save the millions who are starving to death with potential talents
Comment by MLUNGISI — August 12, 2010 @ 4:04 am
Nice article and very good blog, VCgate! I’m planning a media startup and I’m about to start looking for business partners. Have decided upon angel investors, I live in Seattle so I guess I’m gonna contact Seattle investors. Never thought about using business investors databases before, it’s amazing you thought about building one and I see it’s got all the details one could ever need. Just wanted to tell you how useful I find it. And it’s also inexpensive. Thank you.
Comment by Pete — September 8, 2010 @ 7:13 am
I definitely agree with you, a good relationship with the VCs matters a lot. I got funds for my company from an angel investor four years ago, I guess it’s more difficult to access capital this year, but not impossible, as long as you know what to do. Check this link:
http://www.feld.com/wp/archives/2010/09/entrepreneurs-dislike-signaling-vcs-dislike-free-riders.html
Comment by PhillG — September 10, 2010 @ 3:26 am
Hi guys,
Nice article. I’ ve read your comments, it’s good to see some positive thinkers, I’m tired of the bad news about the lack of capital. It’s discouraging especially for young entrepreneurs. I think they should be encouraged to believe in their business ideas and trust their vision, there is a lot of money out there for those who have something to prove and dare to access it.
Comment by robert — September 15, 2010 @ 7:25 am
You’re welcome, Pete, thank you for your comment as well and good luck!
Comment by admin — September 22, 2010 @ 12:17 am
Yes, there are more, actually, use the directory to select the right investors. Please, contact us if you have further questions. Good luck!
Comment by admin — September 22, 2010 @ 12:19 am
Thanks, Will, we appreciate that a lot, we will have more articles on the suggested topic. All the best, VCgate.
Comment by admin — September 22, 2010 @ 12:25 am
I am about to start a business and I wasn’t sure how to choose the right partner as he would also invest within my business. And, as we both expect a good profit, I realized that both of us chooses with great care the right partner. This article inspired me on methods about how you should choose your own partner as an investor also.
Comment by nitli — September 23, 2010 @ 6:32 am
Thank you, we hope you will find other VCgate articles useful as well.
Comment by admin — September 23, 2010 @ 7:05 am
[…] Both venture capital and private equity firms are excellent alternative business financing sources, as it has become more and more difficult for enterprises to obtain significant bank loans. Having a good business plan prepared, accompanied by a relevant executive summary, and being able to prove excellent execution skills to secure a high return on investment are the key factors for a successful approach to business investors. […]
Pingback by factbusiness.com » Blog Archive » Business Financing Sources – How Does Private Equity Differ From Venture Capital? — November 8, 2010 @ 8:46 pm
Skills to secure a high return on investment are the key factors for a successful approach to business investors.
Pingback by Business Financing Sources – How Does Private Equity Differ From Venture Capital? — December 21, 2010 @ 10:31 am