Need an influx of money to grow your business? Whether you’re planning to expand your product line, purchase equipment, hire additional staff, or explore international markets, investors can help you turn your vision into reality. Here’s how to find and attract them:
1. Have a solid business plan in place – Before approaching the banks or investors for money, prepare a detailed five-year business plan. It should clearly state your growth plans and financial projections, along with how much money you need and why. Other important components of a business plan include: the management team and their experience related to the business, market research, and the size/scale of the opportunity.
2. Decide who to approach – Create a list of people, banks, venture capital firms, angel investors, major corporations, and government agencies and programs. Don’t know where to start? Conduct online research. Better yet, network with people you know-including lawyers, accountants, business associates, associations and others-who may be able to connect you to potential investors.
3. Polish your pitch – Prepare a professional presentation that explains your business, your planned path to success, your financial projections, and your marketing plan.
4. Book face-to-face time – Meet with potential investors to deliver your pitch. Be confident. Know what you want from them and what you’re offering in return.
5. Follow up – After the meeting, provide potential investors with additional information they may need. Establish next steps. Seek feedback that will allow you to perfect your pitch the next time.