Looking for investors for starting a business or scaling up one? There are numerous ways to approach fundraising and get noticed by those with the capital you need to achieve your goals. Whether your business concept is award-winning or operating a lean business, leveraging capital is of utmost importance if you want to scale.
Even the best-funded billion-dollar startups have constantly engaged in more fundraising rounds than ever before. You don’t have the luxury of waiting by the phone for a big-ticket size investor to find you with money. The odds of that happening are firmly stacked against you unless you have previously raised from well-connected investors. Thankfully, the following techniques will lead to your success in finding the right investors if well deployed.
Online Crowdfunding Platforms
Countless fundraising platforms have recently cropped up, giving a chance to numerous startups to pitch for an opportunity to get business startup funding. They have become highly popular with a growing number of individual investors, angels, and even banks looking for new ways to deploy capital. Even if you don’t use the platforms to raise money, they offer a great way to get noticed. The most popular platforms include Kickstarter, IndieGoGo, Angellist, SeedInvest, StartEngine, Circle Up, and Wefunder.
Visibility is key to any business, and every opportunity is a chance to showcase what your company does. Networking events will bring you closer to getting noticed by the right investors. You should find out in advance who is attending certain events. There is a wide range of online events that you can get onto for networking purposes. Pitch nights are equally great opportunities to meet with potential funders for your business. You may want to check out WebSummit, Money2020, TechCrunchDisrupt, SXSW, and collision pitch events. Consider attending activities that bring together potential investors in your neighborhood.
Ask Family and Friends for Capital
Raising capital from family and friends may perhaps the easiest way to raise money for your business venture. Not only do you evoke personal connection, but you also generate considerable interest in your business’s success story, which is a significant downside to this option. When family members invest in your business, you run the risk of mixing pleasure with business. Scrutiny in your personal life may bring about animosity in your startup. It is nonetheless the cheapest and most accessible form of raising capital.