Starting a business can be exciting and the way for you to fulfil your dreams. You’ve come up with a fantastic idea that you know is going to be a success, you just don’t have the funds for it. Everything else is set such as your business model and how you’ll gain customers, but you need some start-up money to make it happen. The thought of pitching your business to investors can be daunting. However, there’s no need to worry as if your first try goes wrong, there are many other ways to find investors.
Taking a look at some reviews of financing options could be the first step in your journey to making your business happen. They can give you an idea of what has been successful for others and whether they can be trusted. Websites like reviewsbird.co.uk are useful when researching this. You may also be unaware of what types of financing options there are. Below are some ways on how you can find investors for your business before seeing if they’re trustworthy.
Asking Family and Friends
You may be cautious about asking the people you love for an investment in your business. However, there’s no need to worry as a lot of the time they have faith in you and your idea. It’s the easiest and most cost-effective way of raising money to start your venture. You can ask for either a loan or an investment. With a loan, you can pay it back over time with interest. If they choose to invest, it means the family or friend will hold a stake in the company. An investment may mean you get more money upfront, but it’s up to what you prefer.
Online Fundraising Platforms
Taking advantage of the internet is becoming bigger each day. Some major platforms for investing involve peer-to-peer lending sites and donation-based crowdfunding portals. If you’re looking for a lender, you can have a look at equity crowdfunding sites such as Angellist and Seedinvest. Donation sites don’t have to be paid back, but you need to launch a campaign. This can be done on sites such as Kickstarter or Indiegogo.
Angel Investor Networks
An angel investor is one individual who provides you with the funds for your business. An angel network is member-based and they serve by location, so you’ll have to find the one closest to you. This is a group of angels who operate from a fund that has been set aside by an investment firm. The great thing about these networks is that you may find yourself getting an offer from up to 100 investors. This can be a quicker way of getting your money rather than going to one angel at a time.
These are only three ways to get investors, but they’re much less nerve-racking than standing in a boardroom with a bank and pitching your ideas. It’s likely your business has a lot of potential, so there’s no doubt you’ll manage to bag yourself the right amount to make things happen. The only thing to do now is put yourself out there and before you know it, you’ll be running a successful business.