Joining related associations, supplier
groups and going to networking events,
are all great ways of finding out more
about your potential market. Importantly,
you will be required to provide proof that
you have done your market research.
7
Build a team
For a business to grow, you have to
have a strong and dynamic team. Illustrate
your ability to build teams, even if it was
in past businesses. If you are pre-funding,
develop a personal profile that shows
the behavioural traits of the next line
of recruitment, details your induction
processes, and shows the investor that
you can build and lead a strong team.
8
Establish a board
All corporates have boards. Why?
Because as a business owner you can't
be everything to everyone. You need
strong people to advise and assist
you. If your company is too small for a
board, establish a team of advisors who
can assist you during once a month or
quarterly strategy meetings. A typical
advisory board would consist of your
accountant, your attorney, a business
mentor (someone with experience in the
industry) and business coach. Although
the exact make-up will depend on your
industry and exact requirements.9
Know your real capital
requirements
Don't make the mistake of expecting
your fund to figure out your real capital
requirement. An over-funded business
will struggle to repay its investors, and
an under-funded business will constantly
need capital and run short. Understanding
your real capital requirement to move to
the next phase is crucial.10
Fund only the necessities
Investors aren't there to fund
your lifestyle, or your need to keep up
with the Jones's. Don't plan to buy a
factory, when you can rent one. Don't
ask for funding for a new Navara when
a demo NP 300 would do. Don't include
massive salaries for you, your wife and
the family dog. You need to demonstrate
the ability to utilise your investors'
capital frugally and effectively. A penny
saved is a penny earnt.Doing all the hard
yards to present your
business in its best
possible light, as well
as staying humble, will
go a long way towards
getting you the funding
you need.