Starting a serious business in the absence of funding is very difficult. At the first stages of creating a business, serious investments are usually required in the purchase of equipment and raw materials, in advertising, and so on. One of the ways to attract financing is to find a private investor.
It is necessary
- - a summary of a business project;
- - business plan;;
- - business presentation;
- - a guarantee that guarantees a return on investment.
Instructions
Step 1
Before embarking on a direct search for an investor, prepare the necessary information materials. You will need a short description of your project (resume). On one or two pages, provide information about your business, the state of the market, your forecasts for the next few years in terms of profit and costs.
Step 2
Also prepare a presentation of the business project. It is a more detailed summary. Try to make your presentation convincing, argue all your assumptions about the prospects for the formation and development of your future business.
Step 3
Prepare your proposals for a potential private investor regarding the form of his participation in your business. The investor will certainly be interested in questions about the guarantees of the return of his investments and the possibility of at least partially controlling business processes. This may require the investor to be included in the founders of the enterprise or provide him with collateral that guarantees a refund.
Step 4
Use the most reliable way to directly search for a private investor - contact your friends and acquaintances. This is not only about the fact that these people will finance your business (although this option should not be ruled out). Your closest associates may personally know people interested in the effective allocation of free funds. And the issue of trust will play an important role in this.
Step 5
Also use the so-called smart investor search. Study analytical materials available in the free press, press releases; you should also not neglect the possibilities of social networks. In this way, it is often possible to identify those individuals who are professionally involved in financing business projects.
Step 6
Make a plan to attend specialized exhibitions and conferences where investors gather. This can be a good opportunity to present your business idea. Please note, however, that participation in such meetings may be paid, since there is a kind of qualification aimed at protecting such events from random people. Such meetings can be used to establish personal contacts with investors.
Step 7
Find out if there are associations of "business angels" and private investors (associations, business clubs) in your city. Many investors prefer to work with people who come through organized structures and have positive references from third parties. Your task is to become a member of such a community and earn a reputation as a reliable business partner.
