Get Investors interested - Part 1
Finding funding is typically one of the most challenging parts of starting a new business. The risks versus rewards of investing in new companies can usually have investors worried about jumping in. So the responsibility is now on you as the entrepreneur to make your business idea exciting and attractive enough to capture investors' attention.
#1 Focus On Getting Results
The more business results you have, the easier it is for investors to give you funds to grow your business.
So if you're just starting, I'd advise you to build your product and sell it. Don't hop on the fundraising train before having a tested proof of concept. And finally, remember that as a CEO you're the chief builder and seller in your company.
#2 Create A Persuasive Pitch Deck
I can’t emphasize more the importance of presentation. The majority of your success in getting people to invest in your idea depends on the visuals of your presentation. So take enough time to put together a persuasive pitch deck. The focus should be more on the founders and the company, so avoid using text-heavy slides and keep the visual graphics to a minimum.
#3 Be Completely Transparent
Getting investment from friends and family requires complete transparency. You don't want to ruin relationships with loved ones because an idea didn't work out the way you planned. I suggest reaching out to friends and family interested in your idea and giving them your pitch. If you get positive feedback, take some time to talk about your company's status and your future goals. Keep them updated based on a predetermined schedule (weekly, monthly, quarterly) so they can see and understand the status of their investment.
#4 Soft Sell Through Networking
When you first start out, it can be daunting to think about the funds you need and how you're going to get them. But an easy way to start is to soft sell through networking. Networking is a surefire way to get your business out there and let other professionals in your field know about your brand.
No matter whether the funding comes from friends, angel investors or venture capital firms, you as an entrepreneur must first start by having a clear plan for your business.
Part 2 is on the way!
We will explore investment strategies & stages of business.
