new version available

Newsletter Sign Up

Please enter your email to receive FREE venture capital and private equity special offers, news, and information!

Your Name: 

Your Email:  

October 8, 2010

Five Ways to Attract Venture Capital

Want venture capital? Click here to watch this free presentation.

There are only 750 venture capital firms in the United States, and 600,000 new businesses cropping up every year. Talk about competition. To attract a VC and get the funding you need to grow your business to a massively lucrative exit, deploy the following beauty tips:

1. Possess the cure for pain.

The market pain, that is. Where is the pain? That is the question you should be asking yourself. Identify a market segment that needs your product or service and is either not getting it, or not getting it the right way. If your company can deliver something that makes your customers breathe a grateful sigh of relief, then you are an attractive company to a venture capitalist.

2. Hang out in any of the following sectors:

  • Biotechnology
  • Software
  • Industrial/Energy
  • Medical Devices and Equipment
  • Semiconductors
  • Media and Entertainment
  • IT Services
  • Telecommunications
  • Financial Services
  • Business Products and Services
  • Electronics/Instrumentation
  • Consumer Products and Services
  • Computers and Peripherals
  • Networking and Equipment
  • Retailing/Distribution

As you can see, there is plenty of room for companies of all shapes and persuasions. The closer your sector is to the top of the foregoing list, however, the more attractive you are to a VC. (Source: PriceWaterhouseCoopers)

3. Position your company to penetrate a large and growing market.

VCs love companies in large and growing markets – especially companies that can capture and continually penetrate new customer segments of that market. It’s all about high growth and fast exits. So acquire some in-depth reports from at least one independent market research firm showing that there are plenty of customers waiting for you – and flaunt it.

4. Team up with a hot management team that has been around the block.

If your management team – and your Boards of Directors and Advisors, for that matter – have experience growing companies like yours quickly towards a lucrative exit, you look fantastic.

5. Write great pick-up lines and use them.

To woo a VC, you will eventually need a high concept pitch, a punchy elevator pitch, an irresistible teaser email, a great business plan, a diligent operations plan, a gripping executive summary, and a solid slide presentation. Get busy preparing these materials so that you can be ready when the right VC comes along.

Want venture capital? Click here to watch this free presentation.

Comments

Facebook comments:

Visit our profile page on Facebook:
//www.facebook.com/vcgate.investors.directory
( and click Like if you like :-) )

Got Twitter?
Then Follow us @ //twitter.com/vcgate 



Share This Post:  

Try out our Venture Capital Firms
and Angel Investors
database for FREE!

Enter your name and valid e-mail address to download our FREE
investor database trial version, then click the "Get It Now!" button

Your Name:    

Your Email:     

By continuing to use the site, you agree to the use of cookies. more information

The cookie settings on this website are set to "allow cookies" to give you the best browsing experience possible. If you continue to use this website without changing your cookie settings or you click "Accept" below then you are consenting to this.

Close

X

Enter your name and valid Primary Email Address below now to download our FREE trial version, then click the "Get It Now!" button to start the downloading.

Your Name: 

Your Email: 

NOTICE: This is a spam-free site. Your email address will never be sold or traded and you may unsubscribe at anytime.

Tip: VCgate gives you access to 4,500+ venture capital and private equity investors worldwide at the touch of a button.