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10 Tips to raise funds when you are an Entrepreneur
Start a business require money. Everything in the beginning you have to pay It. The pay of the team, the branding and marketing efforts, all devices you will need, and lots of necessary aspects that you should keep in mind when you are starting a business.
In most of cases people don't have the enough economic resources, and It is there where entrepreneurs have to raise funds.
If you are in this situation, relax, we Will give you some tips you should follow to get funding for your business idea. Let's learn!
Raise funds following these tips
1. Get ready enough
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When we say this, we are referring to a clear business plan.
If you need investment you must go for investors or just get a loan for a bank. In both cases you will need to convince others, and that only will happen if you know well your project, what you want and where you want to go.
It is vital for you having enough information for answer questions or just looking confident and sure about what you are doing.
2. Keep clear the solution that you offer
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We think that the success of a startup is that, it has found a solution for a problem or necessity in the market. And that solution was unexplored before.
If you have an amazing branding, your brand has an amazing image and a personality well defined but you are not clear about the solution that you are offering in the market, hardly you will convince investors or you will get enough funding. You need to know it and be sure of this for motivating others and invite them to participate in your business project.
3. Be sure of scalability of your project and say it!
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When a startup is scalable means that the idea behind would have growth and expansion in the future.
This aspect is different if you are raising funds for small and medium enterprises because this kind of business are thought for keeping in the time the same place in the market or maybe they would not plan to evolve very much.
If you plan to make an startup, you have to guarantee the project scalability before raising funds because this will be easier to convince investors, banks or institutions to invest in your business idea.
4. Seeks, generates, and test traction
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If you did not know it, traction is the proof of that there are users, other business, clients, or customers who need, want, and actually are buying (if the product was launched) your solution.
This comes after scalability because we think that only scalability is not enough when you raise funds. You need to prove the whole potential of your project.
If you are in early stages, you would use your idea validation, you would take your value and growth hypotheses or just demonstrated your product market fit.
5. Choose a financing method
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If you want funds for your business idea, you need to be sure of which (financing method) LINK you will use. Why? Because every financing method has a procedure that you need to follow or different requirements that you need to meet.
For example, it is not the same look for an Angel Investors that apply for a Bank Loan. They are not the same requirements and processes to follow.
So, choose your method and go for it.
6. Make a pitch deck if it necessary
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When you are raising funds in the most of cases you need to do a pitch deck.
A pitch deck is a oral presentation that you make for get funding, and this presentation you can accompany her with a video or a presentation
We make a post before where there are pieces of advices, tips, steps, and everything you have to know for make perfectly a pitch deck.
7. Known clearly the amount of funds that you need
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This is part of the business plan but it is so important that we decide to make an specific tip about it.
You need to know and justify every cent you need and how you plan to use it, which benefits will bring, etc.
Talk or show this information as clearest as possible when you are raising funds and get amazing results doing it.
8. Try to get funding in the same coin you will earn money
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This is just a protection of exchange risks. If your product is for US and you will gain dollars it is really daring to raise funds in another coin.
9. Always sell
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Since you have the idea and are raising funds until you produce and commercialize your product or service, you have to sell.
Sell ideas, sell your benefits, sell yourself, and sell your product as much as possible and smartly.
10. Use the right and necessary resources in favor
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If you need a phone, a determined look, a pc or every device you consider will be necessary to make good presentations when you are asking for investment, use it or try at least.
If you have an interview with investors, be punctual, use the right appearance, and always work to build a good impression and reputation.
Are you ready to raise funds? Follow these tips and share them with everyone you think that need them. If you want more information like this, you can subscribe to our newsletter. We want helping you to develop and take your business at it highest level.