While we would love to fund our business on our own, we might not have an endless pot of money to spend on our company. After all, a lot of our own savings goes on the startup of our business. And then a business loan can help us to afford things like an office premises and tools to be able to create the products promised. Therefore, it’s easy for funds to quickly dwindle down at the beginning of the company. And it can be a long wait until you start getting money from clients. Therefore, a lot of businesses consider going down the investor route to help them fund their company. After all, it can give them the money they need to expand and grow their business. You might want to consider crowdfunding which has become a popular way to fund and grow your company. After all, people who believe in your company can donate to help you raise funds. Or you might want to go down the private investor route. However, it can be easier said than done to win over investors. After all, they will see many hopefuls a day who are looking for funds to make a success of their company. So they won’t be willing to part with the cash so easy. In fact, you need to take steps to impress them to ensure they share their funds. Therefore, here are some not-so-obvious things which can help you to win over investors!
A unique pitch
It’s very likely you will have to pitch if you want to win over an investor. After all, they will need to hear all about your business before they make the decision on whether to invest. And they will want to hear all about it from the owner. After all, you have the most knowledge and insight into your own company. And a lot of the time, the investor is actually putting their money in your rather than the business idea. So they will want to hear from you so that can weigh up whether you are investable. But with the investor hearing many pitches a day, they want something a bit different when it comes to the pitch. After all, if you stand there and talk to them in a monotone voice, it’s not going to win them over. Therefore, you need to make your pitch unique to ensure the investor parts with cash. It might be the case you show a video which explains all about your company. You can add in testimonials from employees and even customers which will raise eyebrows. And you need to bring in tester products which you should let the investor try. If it’s a service you provide rather than a product, you could bring a computer with you and let them have a go. After all, seeing it in action can help to seal the deal. And don’t be afraid to make jokes during your speech to the investor. After all, you want something unique and fun to ensure they remember you once you leave the room! And hopefully, you will secure an investment to grow your business.
Talk to them about customer feedback
The potential investor needs to know they are making a good decision investing in your company. After all, they want to make a good profit from the investment. And they want great dividends from your company every month to ensure they are not wasting their time. Therefore, you need to show the investor as much positive stuff about your business as possible. That way, they will feel confident they should invest in your business. One thing you can show them to help them make their mind up is customer feedback. After all, if they see customers are happy with your business, it can help encourage them to invest in your business. Therefore, bring as much feedback as you can when you go to meet the investor. It’s always good to bring along things like net promoter scores too. If you are wondering what is net promoter score, it’s basically a score of customer loyalty. And if you have a good one, it could help secure your investment. After all, they want to ensure your business is going to last in the long-term with solid customers.
A lot of people make the mistake of being a bit over ambitious with their figures. After all, they want to impress the investor so they make the business sound better than it is. But if you do lie about figures, they will see right through you. And they won’t want to invest in your business. After all, they are only going to release their money to entrepreneurs who are honest and trustworthy. So if you lie to them about figures, it’s going to send the money away into the distance. Therefore, give them honest details when it comes to things like profit, overheads, and forecasts. That way, they can make up their mind with realistic figures in front of them. It will all come out when you go through due diligence, so it’s better to be honest in the first place. And whatever you do, make sure you bring accurate figures with you when you go to see the investors. After all, if you have no clue on how much money your business has made, they will not be impressed. In fact, you will struggle to win them over to get them to invest in your company. So have everything to hand to show them when you go to meet them. And if you are not good at figures, get an accountant to sort it out for you. That way, you will have something accurate to present to them when you go for the meeting.
And remember that you can leave them impressed if you learn about their background. Talk to them about other investments and how you were impressed with how the businesses are moving forward. Showing you have taken the time to learn about them will make all the difference when it comes to securing that investment.