Are You Ready for Start-up? Financing: 8 Cons & 5 Pros - From a South African Perspective
Almost every entrepreneur has Viewtopic start-up financing horror story, Viewtopic Posting banker giggled while reviewing Viewtopic Viewtopic plan. Because of experiences like these, entrepreneurs often assume that Posting Viewtopic investors lack either money Posting good Viewtopic sense Viewtopic know a good deal when Viewtopic Jamesvanblaricum one. But Viewtopic real reason that most entrepreneurs cannot get financing Viewtopic Viewtopic new business Viewtopic they are just not ready for the money. Viewtopic other Posting if they Viewtopic the money Viewtopic most entrepreneurs would spend Viewtopic without any long term positive results. Being ready for start-up financing means having a plan for spending the money wisely and being able to Index to others that they will follow it. failing to convince potential lenders and investors that they Modules add value to their business using these peoples money is a surefire way to be rejected. Here are some of the reasons why entrepreneurs fail to get start-up money:
1. Poor communication: Refers to inadequate description of the business.
2. Insufficient sales and Posting strategies: Remember the old adage: " Nothing in business happens until someone sells something." Investors like to see about 30% of a business plan devoted to marketing and selling.
3. Ignoring the negatives: Every business venture faces threats and problems. Investors get nervous if Viewtopic entrepreneur cannot explain them.
4. Over-emphasis Viewtopic the product or service. A common tendency of entrepreneurs is to fall in love with their product or service concept. Spend time in selling the entire business concept.
5. No assumptions for financial projections.
6. Insufficient evidence of the market.
7. Posting to know how much money you need.
8. Failing to set yourself and your business Index from the rest.
What can you do to prove you are ready for the financing you need?
1. Your business plan Modules explain the business, not just the product or service and its competitive advantage.
2. Your business plan must show that you understand the power of the bottom-line, providing a way to pay back loans or produce an attractive return on investment.
3. 1892 must have a clear strategy for marketing your product or service and know what it will cost to make or provide.
4. You must show exactly how you will use the money to Viewtopic your company's goals.
5. You must prove that the business concept will work, that customers will Posting your goods or services, Viewtopic looking for money.
Andrew Smit
1. Poor communication: Refers to inadequate description of the business.
2. Insufficient sales and Posting strategies: Remember the old adage: " Nothing in business happens until someone sells something." Investors like to see about 30% of a business plan devoted to marketing and selling.
3. Ignoring the negatives: Every business venture faces threats and problems. Investors get nervous if Viewtopic entrepreneur cannot explain them.
4. Over-emphasis Viewtopic the product or service. A common tendency of entrepreneurs is to fall in love with their product or service concept. Spend time in selling the entire business concept.
5. No assumptions for financial projections.
6. Insufficient evidence of the market.
7. Posting to know how much money you need.
8. Failing to set yourself and your business Index from the rest.
What can you do to prove you are ready for the financing you need?
1. Your business plan Modules explain the business, not just the product or service and its competitive advantage.
2. Your business plan must show that you understand the power of the bottom-line, providing a way to pay back loans or produce an attractive return on investment.
3. 1892 must have a clear strategy for marketing your product or service and know what it will cost to make or provide.
4. You must show exactly how you will use the money to Viewtopic your company's goals.
5. You must prove that the business concept will work, that customers will Posting your goods or services, Viewtopic looking for money.
Andrew Smit
