What Venture Capital Strategies Should Small Businesses Follow?
Venture capital is amongst one of the major sources of funding looked upon by small businesses during pre or initial launce phase. I Suraj Rajwani will give three forever proven tips that will help you and your business in securing venture capital during initial phase of business expansion.
Approach to right people with right business plan
People offering venture capital services are specialties in particular area of business. The investment strategies of no two business houses are same some businessmen / business houses tend to invest in emerging businesses while others tend to invent in established businesses. It is worth value of time if you sit down and do some research to find out who are the venture capitalist backing the industry you work for. In the course of your search you may come across investors who do not belong to same business niche they can do no good to you and your business but they can provide their valuable expertise on your plan such that make it more appealing when you approach venture capitalist of your own business niche. In search of potential investor you will send you business plan to hundreds of investors if not thousands some will just dump it without having a glance of it, it's a natural phenomena.
Make sure your business venture hold the potential of return investment
I Suraj Rajwani during all these year have seen countless business failing due to lack of ability to yield desired results. Majority of investors tend to invest in business if they seek a possibility of return of around 10 times on the worth they have invested. Take for example an investor make an investment of 1 million USD the investor expects a return of around 10 million USD after a stipulated time period from the worth he has invested. To allure investors you business plan must assure a return on the worth investors are investing. If your business plan has slow return rate in that case it is recommended that you must start looking around for alter sources that can fund your venture.
Make sure there is an exit option for investor in your business plan
During last one decade I Suraj Rajwani has made countless proven investment strategies with proven results. Majority of investors generally don't want to get coupled with new businesses till they establish their reliability and credibility. Majority of investors will leave the venture in which they have invested after stipulated time period. In such a case your business plan must explain as to how investor can safely get detached from your venture. The reasons of detachment vary from investor to investor some investors prefer to sell their share off and invest in new offering. By making your plan with flexible approach you can attract more investors.
In a nut shell if you send your business plan to right investors with pre defined rate of investment and return they will receive over the stipulated time period and placing a safe exit door for your investors you hold the chance to bag ample of investors to invest in your venture.
Approach to right people with right business plan
People offering venture capital services are specialties in particular area of business. The investment strategies of no two business houses are same some businessmen / business houses tend to invest in emerging businesses while others tend to invent in established businesses. It is worth value of time if you sit down and do some research to find out who are the venture capitalist backing the industry you work for. In the course of your search you may come across investors who do not belong to same business niche they can do no good to you and your business but they can provide their valuable expertise on your plan such that make it more appealing when you approach venture capitalist of your own business niche. In search of potential investor you will send you business plan to hundreds of investors if not thousands some will just dump it without having a glance of it, it's a natural phenomena.
Make sure your business venture hold the potential of return investment
I Suraj Rajwani during all these year have seen countless business failing due to lack of ability to yield desired results. Majority of investors tend to invest in business if they seek a possibility of return of around 10 times on the worth they have invested. Take for example an investor make an investment of 1 million USD the investor expects a return of around 10 million USD after a stipulated time period from the worth he has invested. To allure investors you business plan must assure a return on the worth investors are investing. If your business plan has slow return rate in that case it is recommended that you must start looking around for alter sources that can fund your venture.
Make sure there is an exit option for investor in your business plan
During last one decade I Suraj Rajwani has made countless proven investment strategies with proven results. Majority of investors generally don't want to get coupled with new businesses till they establish their reliability and credibility. Majority of investors will leave the venture in which they have invested after stipulated time period. In such a case your business plan must explain as to how investor can safely get detached from your venture. The reasons of detachment vary from investor to investor some investors prefer to sell their share off and invest in new offering. By making your plan with flexible approach you can attract more investors.
In a nut shell if you send your business plan to right investors with pre defined rate of investment and return they will receive over the stipulated time period and placing a safe exit door for your investors you hold the chance to bag ample of investors to invest in your venture.
Source...