Starting a new business can be the most exciting and thrilling experience. You have an innovative product or service that you truly believe in and want to see succeed. The important question is: how will you grow your business? You might be one of the lucky 5% that receives direct funding, however if you are still looking for an investment, there are several avenues to delve into.
Here are some of the most popular investment avenues:
With start-up incubators and accelerators opening up across the world, it is easy to find the right start-up community for your business. Whilst the vetting process differs highly between some of the accelerators, they offer a great deal of support, teaching and mentoring through those first critical stages, leading you towards a higher chance of success.
2. Angel Investment
An angel not only becomes your start-up investor, but also a mentor throughout your business journey. The person(s) helps you grow your products & services, boosts your brand image and monitors your growth. Whilst difficult to find, it is worth the search.
Thousands of start-ups try their luck with crowdfunding campaigns, the most popular being Kickstarter. These platforms are all about innovation, attracting the attention of the public. In order to find success, your business needs to stand out from the crowd and offer something that nobody else does in the current market.
4. Social Networking Sites
While social networking pages, such as LinkedIn, tend to be more directed towards job seeking, new and upcoming networking sites are taking a broader stance. Many connecting you directly with potential investors, they bridge the gap between start-ups and investment searching.
5. Friends & Family
If you find yourself related to a wealthy uncle or generous parents, it could be your opportunity to ask for a favour. Be sure to separate the professional investment with the private relationship, as money can quickly tarnish close connections between people. Instead, set up strict ground rules for the investment, making sure you both stick to the agreement.
What do you need to prepare for to become investment ready? Stay tuned as we will explain all of the nitty-gritty details in our next month’s blog.