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Tips on How to Attract Capital and Successfully Exit a Business

The death of “THE DEAL” has been greatly exaggerated since the financial meltdown of September 2008. Yes, there has been a dramatic slowdown of deal closings for business owners seeking to raise capital or sell their business but the deal has never died. While few predict a dramatic pickup in deal volume any time soon, people are completing transactions and there are signs that deal activity is... 

Raising Capital for your business? An alternate approach!

Several months ago, I had written an article on raising capital from customers and fans. I thought now was the time to write a follow up about it because I have gained more information about this topic. Lot of people email me telling me that they want to raise capital for their businesses. The problem with many of them raising capital is they have unrealistic expectations. Many of them expect the... 

7 Strategies Investors Recommend For Raising Capital

We asked several investors about what specific strategies entrepreneurs need to employ when raising capital for their business. Most people who sent in their responses were experienced investors who had invested in several businesses or experienced entrepreneurs who had raised financing for their businesses in the past. This is a list of some of the responses from investors. 1. Network, network and... 

List your executive summary here and get noticed by investors

If you are raising financing for your business, list your executive summary in the comments box below. And, give yourself a chance to get noticed by investors. Make sure to include: Name of the business Nature of business Industry Description of products or services USP (unique selling proposition) Business model – How you plan on making money? Amount of capital required And contact details... 

The various stages of funding

Seed stage This is money that is typically invested when the business is in the idea or concept stage. The founders are still investigating an idea and require money typically for market research and developing a prototype. There are funds that focus only on seed stage companies. So, if you are looking for funds while in the seed stage, you need to weed out all the firms that do not focus on the seed... 

Types of capital

There are primarily two types of capital – Debt and Equity. Debt is capital that needs to be paid back. A personal or business loan is an example of debt capital. An individual or institution lends money to a business with an understanding that the money needs to be paid back. It is similar to a personal loan in that you need to make interest and principal payments on a regular basis. Debt capital... 

Sources of capital

This is a basic list of sources of capital that most entrepreneurs use while raising capital for their business. 1. Family and friends Family and friends can be a great source of financing for the first time entrepreneur. If you have wealthy friends and family who can spare some money for you then they can be a great source of financing because your family and friends can provide for flexible terms... 

6 reasons why you need a business plan

To show to investors. This is a very common reason and most people think about writing a business plan only when they need outside financing. To get clarity about the direction in which your business is heading. Your business plan acts as a blueprint for your future actions and inactions. To evaluate every aspect of your business in an organized manner. The various aspects... 

Companies with business plans outclass companies without business plans

Most people start looking for a business plan the night before they need funding. You don’t prepare a business plan the night before you need funding, you prepare a business plan before you even start a business or at least within the first six months of starting a business. Lot of successful entrepreneurs may have started without a business plan, but they did not stay that way. They eventually... 

The Essential Contents of a Marketing Plan

Excerpt from On Target: The Book on Marketing Plans by Tim Berry and Doug Wilson Every marketing plan has to fit the needs and situation. Even so, there are standard components you just can’t do without. A marketing plan should always have a situation analysis, marketing strategy, sales forecast, and expense budget. Situation Analysis: Normally this will include a market analysis, a SWOT analysis...