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Unique Ways to Funding Your Small Business

funding

If you’re a startup, there is nothing surprising in facing teething troubles.  But none of these challenges or troubles is as big or critical as funding your business. That means finding investment to get your business off the ground is, without a doubt a daunting task.  From production space, buying goods to renting office, and hiring staff, turning a simple idea into a business practically requires funds and money.

Unless you are wealthy enough to finance your business or your benevolent relative has left you a lot of money, you probably have to find ways to fund your business.  Luckily, there are some smart ways you can resolve this problem. Here are some of those unique ways to help you fund your business.

How Can You Fund Your Small Business?

1.     Crowdfunding

One of the easiest way to find your business enough funds is crowdfunding- which is a practice of raising funds from different forums or people.  It is an alternative finance and a kind of crowd sourcing.   Luckily, there are plenty of crowdfunding options available for you right on the internet.

When asking for investment funds for your businesses from a variety of investors, it is highly recommended to come up with an impressive pitch. The success of your crowdfunding campaign depends more on how you pitch the idea than it does on the idea itself. Of course, you need a team with you to plan out your crowdfunding campaign.

A common reason why startups choose this method of funding is because of the flexibility of options. Venture capitals are known for being strict with their investments. They will demand more equity in your business than you will ever have to offer through a crowdfunding model. They usually focus more on their returns than the success of the startup. The situation is quite the opposite when you go with the crowdfunding option.

2.     Angel Investors

Angel Investors is no doubt one of the unique funding options among all as they are always looking for innovative ideas to invest in the business. Originally business giants like Yahoo and Google were also used this funding option. It is worth noting that taking funds from Angel Investors requires entrepreneurs to give them some equity share in the company.

3.     Small Business Loans (SBA)

This funding option is a result of the U.S government’s interest in rampant growth of the small business industry.  The s Small Business Administration, in this regard, offers a wide range of loan types and business investments to help business owners get started.  Exploring the SBA loan options is a great way to kick start your business, if intend to run an educational institute or non-profits set-up.   For easy funding, you might want to request for SBA grants.

4.      Venture Capitalists

Much like angel investors, the funding option invest money in up-and-coming- businesses that have high potential to not only grow but also monetary returns.  In addition to that, Venture Capitalist looks for equity share in the business it invests money in. The investors are also interested in getting a right in company’s directorial decisions.  In short, VCs make money through their investments and consider having some control or authority in the business is the best way to do that.  It is always better to investigate this funding option thoroughly before opting it.

5.     Microloans

 Reserved specifically for small non-profit businesses, finance institutions grant microloans to entrepreneurs who don’t qualify for a bank loans. Microloan organizations, instead of giving donations to the non-profit companies allow entrepreneurs to invest in various economic opportunities.  Microloans are also a popular financing option in developing nations.

6.     Personal Financing

There is no denying that investing in a startup entails a lot of risks and these risks are what prevent traditional lenders from giving loans to business owners. This becomes even more skeptical if business owner doesn’t invest his/her own money in the startup.

7.     Purchase Order Financing         

 There is an array of factors that affect the cash flows of any business. These factors may include supply and demand and seasonality.  For examples, sometimes a company is unable to complete the orders due to fewer funds to buys inventory and material to make the products.

In situations like these, purchase order financing can be the panacea to the problems. It helps companies extend advance to purchase material they need to make products. Purchase order financing collect back money when products are sold.  If your business deals in manufactured goods, it stands a chance to makes 20% more on its sales by opting purchase order financing.

8.     Vendor Financing

If your bill payment record is contingent on your product selling record, you may take the benefits by negotiating longer payment terms with the vendors.  Vendors, typically require payments on invoices within thirty days before imposing penalties and late fees.  Negotiating longer payment terms will allow you work with more cash in the interim.

This is even more important if your business has a longer sales cycle than thirty days. That means if sales cycle takes  forty to forty-five days from  purchasing to selling goods, you will not be able to make invoices payment within a  month.  In that case, you need negotiations to avail vendor financing to benefit your sales cycle.

Final Thoughts

In a nutshell, investments and business funding are of paramount importance no matter what industry you want to get into. If you lack sufficient finances, it is important to weigh all options you can choose to give a kick start your business.  Given that, the mentioned funding options are great to consider if they suit your requirements.

Who we are:  Funded.com is a platform that is A+ BBB rated over 10+ years. Access our network of Investors, get instantly matched with a Lender, or get a business plan by visiting us Funded.com

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Small Business Loan Is Easy to Get If You Are Doing the Important Things Right

Business Loan

When your business is in its starting phase, you need a loan to grow it. Yes, there are ways for you to start your business with very little capital, but even in the age of the internet you need loans for the growth and expansion of your business. Oftentimes, startup and small business owners are scared of taking loans because they believe returning the same loan with interest on it will hinder their growth. The fact is a loan is not such a big liability if you have done your homework before getting it. Hastily getting a loan without researching the market and knowing your business’ growth potential can be detrimental to the business.

Your Business Plan Matters Big Time

It does not matter how experienced your management team is when your business plan is weak. When you ask for a loan from lenders, they are trying to find reasons to forward you the desired loan. They want to be sure that the loan they forward is returned in time and according to the terms and conditions set at the time of loaning. Lenders will seldom gauge the potential of your business to return the loan based on what you speak. What they want to see is a solid business plan and that’s why you need to have an impressive one. A strong business plan will consist of the following and some more.

  • The company description
  • Management role and experience
  • The product description
  • Strategy for marketing
  • Financial projections
  • An executive summary
  • Documented cash flow

Keep in mind that banks often look at the cash flow in the documented form, and their scrutiny is not limited to what your projections are for the future but more importantly how you have managed things in the past. They will look at your company’s cash flow records for past couple of years to see if you should be given the loan you are asking for. So, keep your business plan in mind and make sure you have worked on every aspect of it to present something impressive to the investors.

Your Loan Options Are Many

Sometimes, you have a solid business plan and everything else is in place, but your understanding of loan options is not at its best. Many small business owners live with the impression that the only institution available to them for obtaining a loan is a bank. That’s far from truth because there are dozens of other ways to obtain the loan or investment for your startups that’s much easier to manage than a bank loan. Some of the options available to you include SBA loans from the government, invoice financing, business equipment financing loans, etc. If you are just a startup and none of those options seem viable to you, there is online fundraising. Online fundraising has become quite a popular method of getting investments for your startup from individuals who trust in your idea and concept of the business using websites like Funded.com.

The Right People Can Make the Difference

Delegating responsibilities to the right people is an art and skill that not many business owners have. Oftentimes, small business owners rely too much on their own skills and are scared to trust any other person to do things for them. This can be a grave mistake because you cannot be the jack and master of all the trades at the same time. For example, you might be great at crunching numbers and making accurate projections for the business but not very great at sales and pitching ideas. If you have to pitch your business idea, its marketability and scope to the investors, choose the person who can best present it. Despite your great business plan, you will fail to obtain a loan because of your nervousness and lack of confidence when it comes to acting like a clever salesperson.

You have to bear in mind that investors are not investing only in your business, they are also investing in you. It is very important for them to like your personality to invest in your project. Appearing unprepared or nervous in front of them will send an impression that you are not fit to lead the project, your decision making is faulty and that you cannot create strong teams.

A Well-prepared Presentation Can Win Hearts

It does not matter who is giving the presentation when the content is boring and does not address the points that investors are most curious to know. First, get your numbers straight and bring them into the presentation at the right points. Be the investor in your mind and think of the questions you would ask if someone presented the same product/service to you. Have your accountant, advisor and business lawyer by your side when preparing the presentation. You don’t want to give wrong figures during the presentation and fall for a bad deal at the end of it. The most important thing is to explain your business idea as clearly as possible. Many times, the presentations are so all-over-the-place that investors can’t make heads and tails of it. If they don’t understand your business, they will never invest.

So, bear in mind that obtaining a loan is not that big of a challenge. Most of the times, it is just some small mistakes in the areas mentioned above that become the cause of lost opportunities to get the right loans for your business. Create a solid business plan, choose the right people to represent your business and use all the options that are available to you at the right time to grow your business at the pace you want.

 

Who we are:  Funded.com is a platform that is A+ BBB rated over 10+ years. Access our network of Investors, get instantly matched with a Lender, or get a business plan by visiting us Funded.com

You can review our featured partners to help your success with your business or project.

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7 Tech Trends To Add To Your Small Business Startup To Attract An Angel Investor

Angel Investor

Angel investment is on the rise,and your small business startup needs to capitalize on all the opportunities at hand. Venture capitalists are on the hunt for business startups to invest in that are currently at the cutting edge of technology and taking risks with these advancements’ trends. You find that investors are eager to sink their investment dollars in these technologies so that they can reap the future returns. While the payoff might be big for an angel investor, these tech trends will also help your business startup to attract those funding dollars.

Artificial Intelligence

AI is not new to the scene, but for 2018, it is making a significant headway. By allowing companies to do more with less, AI will turn out to be a fundamental change in the way a company does business today and tomorrow. Startups that integrate AI into the fold will experience a shift in how they are able to perform routine tasks, freeing them up to focus on their customers. Angel investors see this as a win-win as they are able to invest in an advancing technology as well as a startup that is leading the way with its use. Your business startup will do well by having AI as a part of your repertoire and see more funding interest come your way in 2018.

Social Media

The uses of social media to enhance your consumer game is a boon for investors looking to find business startups that are succeeding in their customer engagement. While social media isn’t a newcomer technology, those that have a strong endgame will win big in terms of revenue sales. Social media is proving to be the technology platform that links us all together and gives business startups the recognition they need early on. Venture capitalists are enamored with its use by business startup as they see the power it offers and the benefits a business startup can take advantage of. Using social media to boost your business in 2018 will be key to gaining funding from an investor as they recognize the strengths it offers to your consumers.

Blockchain

Blockchain is another technology on the fringe waiting to bust on to the scene in a fury in 2018. It’s ability to provide a real-time ledger of transactions can give your business startup the transparency it needs to garner the nod of a venture capitalist waiting in the wings. Your business startup will benefit from Blockchain’s ability provide stable and error-free operations while angel investors gain by investing in a technology that has proven its worth. You’ll see funding offers from a series of investors if your business startup utilizes Blockchain to its full advantage within your organization.

Internet of Things

The Internet of Things is advancing at a steady clip for the New Year,and you’ll see IoT virtually everywhere you look. With consumers becoming more connected than ever, IoT offers an opportunity for new products and services that enhance IoT’s capabilities in the home, business,and community. Angel investors are savvy to the draw of IoT and how it is changing the way consumers interact and live their lives. They want to get in with business startups that are using this technology to move their business forward, engage with consumers, and improve their business operations. Count on IoT as a way to entice venture capitalists and secure funding in 2018.

Big Data

Data is everywhere these days,and it will only get bigger this coming year. Business startups such as yours will be able to use big data to understand every aspect, detail,and nuance of your customers, so you can create products and services they desire. With big data changing the way that business startups engage with their clients and provide unique customer experiences, it means plenty of evolution is on the horizon. Angel investors are keen on the possibilities all this available data can provide and know that companies that take advantage of the information can lead their industry in leaps and bounds. Use big data to enhance your business startup operations and stay tuned for venture capitalists to come calling with much interest and fanfare about your company this year.

Cyber-Security

While 2017 was a year that many will remember for its security breaches, this year provides a turn of events as business startup integrate or offer cybersecurity services to better protect their customer data. This cybersecurity will change how companies in all sectors operate and provide the level of security that is needed to protect that confidential information from getting into the wrong hands. Business startups that use cyber-security to protect their company or create products and services for others that help them secure their information will do well in the following year. Angel investors will show interest in these endeavors as the need for secure data protocol is growing without hesitation.

Virtual Reality

Also, on the fringe in 2018 is VR. This technology gives you the ability to engage with your customers in a new and exciting way. Through a more desirable customer experience, VR can help your business startupto increase its customer numbers as well as its revenue as VR improves workflow and access to customers all over your niche. Angel investors want in on AR as an investment opportunity, and your business startup will attract their attention now and into future with this technology at your helm.

Integrating any of these technologies in your business startup shows a strong sense of understanding and initiative to increase your customer base and profits this year and the coming year. Angel investors want to be able to get their hands wet with these new technologies so that they can be where the growth is with these trends. Think about how these technologies can help your business startup succeed in 2018 and secure the funding you need to get off the ground. You’ll be surprised at how much attention you receive by taking the first step with any of these technology trends and reap the rewards of investment into your company by an investor.

 

Who we are:  Funded.com is a platform that is A+ BBB rated over 10+ years. Access our network of Investors, get instantly matched with a Lender, or get a business plan by visiting us Funded.com

You can review our featured partners to help your success with your business or project.

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How Marketing Mix Can Help Small Businesses Grow

4P of marketing

If you are doing all you can to grow your small business but nothing is working, you might want to take a step back and reconsider your marketing mix. Doing the right type of marketing at the right place and at the right time requires some brainstorming, research and analytical approach. Take a look at what marketing mix is and how you can use this concept to grow your small business.

Understanding Marketing Mix

In simple words, marketing mix involves the techniques, tactics and strategies you implement to promote your product, service or brand. The marketing mix consists of four Ps: Promotion, Product, Place and Price. If you research the idea a bit more you will find that people are adding more Ps to the mix but their understanding is not as important as the understanding of these four factors. In the new definition of marketing mix, they have also included other Ps like: people, positioning, packaging and politics. Here is a basic understanding of the four essential Ps of the mix.

Product: It could also be a service—anything that you are selling

Price: The value that you want to obtain when you sell the item.

Place: The exact location where you sell the product.

Promotion: The mixture of activities and campaigns that you put in to spread awareness of your product and increase its sales and additional funds to your business.

To expand your business you have to achieve perfection in your marketing mix. You have to attain a balance in all the areas of the mix for a successful strategy. Working on attaining the right balance right from the beginning will help you lay the foundation of a business that faces least amount of struggle when it comes to expansion and growth.

Using Marketing Mix for Small Business’ Growth

To create the right marketing mix, you have to understand your product at its core. When it comes to the product, you have to have a full understanding of it. What is your product? What problem does it solve? Even if your product solves a problem, have you designed to in a way that a potential customer would look at it and know what it is supposed to do? Once you know your product well, you can get to the other Ps of the marketing mix. Here is a little understanding of how marketing mix works.

  • Tying Product with Price

It can be one of the toughest things for most business owners to do. While it is a job for the marketing department, you don’t always have a dedicated marketing department when you are still a startup. When you are about to price your product, you have to consider a lot of factors. First, what type of audience does your product appeal to? What materials have you created the product with? How much competition you have in the market? What is the buying power of the market for which you have designed the product? It is only after taking all of these factors into consideration can you price your product appropriately. Keep in mind that when you are a new business, you cannot charge your customers for your value because there is no value for customers in buying your product at this stage.

  • Tying Price with Place

You cannot be thinking of one individual component of the marketing mix at one time. You might have created the right product but the question is “are you selling it to the right people?” What if your product is more appealing for teenagers but you are targeting people over the age of 35? What if you know your target audience but are placing the product in the wrong places? Maybe your item is more sellable online but you are putting it on retail store shelves. Now that you know the “place” where you need to sell the product, you have price the item aptly too. For example, a product that you have designed for teenagers should be affordable within their pocket money.

Moreover, your product might be appealing for a niche market but you might have priced it too low. As a result, too few people would buy it and your revenue will not cover your expenses. You have to be sure that you cover your costs within the limited number of purchases that occur.

  • Tying Place with Promotion

When looking at place and promotion as a combination, you have to be sure that you are promoting your product in the right place. Is your product more appealing for women than it is for men? If yes then you should consider promoting it on social networking platforms where women are more active e.g. Pinterest. Moreover, your promotional activities should match the place. For example, if you are promoting in an area where there are Oakland Athletics fans, you don’t want to be wearing San Francisco Giants’ t-shirts and gear.

  • Combining All the Ps

Once you have created the right product, priced it perfectly and strategized your promotional campaigns, you have to bring the product in the right place so all the Ps work successfully. Creating the right product, pricing it right and promoting it with passion but in the wrong place will result in disappointing response. Just because you are good with one of the Ps does not mean you will be successful in others as well.

Now that you have a good idea of tying the Ps together, you should have a complete road plan of how you are going to sell your product. It will require a lot of working at initial stages. You cannot know your market unless you do some surveys and spend time collecting data about the market. At the same time, you have to perform a thorough research of the market to know how you will price your product. When it comes to promotion, you will have to come out of the conventional methods and think more digital. You might as well set up a dedicated team for social media marketing and website analytics.

 

Who we are:  Funded.com is a platform that is A+ BBB rated over 10+ years. Access our network of Investors, get instantly matched with a Lender, or get a business plan by visiting us Funded.com

You can review our featured partners to help your success with your business or project.

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What Are the Necessary Means to Improve Your Business

ImproveEntrepreneurs are not born; they learn things by experiencing ups and downs in a business. To make consistent improvement to improve your business status is critical to maintaining sustainability. Successful entrepreneurs perpetually monitor their business process in order to identify loopholes.  Monitoring your business cash flow and identifying your strengths and weaknesses is a key process that helps you improve your business.

Apart from this, there are several things you can do to keep the risk minimum while enjoying a double-digit growth every year.

Here we have included an overview of some necessary means you can use to improve your business growth

Ways to Improve your Business

1.     Assess Your Business Situation

As mentioned earlier, monitoring the progress of your business is a key to bring improvement.  This is where you identify the areas that need change. However, before you make the changes, it is ideal to ensure that you are aware of the factors that are affecting the success of your business.

These factors may include emerging market trends, your current business strategies, weak market strategies or even lack of competent staff. Fortunately, there are a number of tools you can use to assess your business status. Following tools can help you:

SWOT Analysis:

It is an effective tool that is designed to identify the strengths and weaknesses of your business. Not only does it help you assess the strong areas of your business operations, but also threats and opportunities. You can work out all internal as well as external factors that keep your business from growing.

SWOT is one of the widely used analytical tools to help you in the decision-making process.

SWOT

  • Builds on strengths
  • Minimizes weaknesses
  • Seizes opportunities
  • Counteracts threats

Market research

It is another important tool to investigate the business market to help entrepreneurs identify emerging trends, new technologies, and customer demands

Trend   Analysis

The tool uses your business data for the last five years to identify and assess consistent trends.

Benchmarking

It is a smart tool that is used to measure business performances with the same size of business being operated in the industry.

2.     Business Goals

Whether it is business or your life, without goals it is completely directionless. Business goals keep you focused and energetic, which makes your business successful. You can use these objectives as a part of your ongoing business plan to make sure you keep moving forward.

However, there are certain criteria that need to be considered while setting these goals. Your goals have to be SMART- specific, measurable, achievable, relevant and timely. That means they have to be practical to be achieved within a set timeline. It would be better to prioritize your business goals or to write them down on paper.

You can plan short or long -term strategies to accomplish them. It will help you determine the time, finances and resources.

3.     Develop a Strategic Plan

There is no doubt that businesses whether small or big, take time to progress. That is why it is important to create a smart strategic plan that has an outlook of at least 3 to 4 years. The plan should be made keeping the business goals ahead.

Make sure each year defines your business goals plus how your team will achieve those goals over the estimated time. Besides this, it is important to prepare a financial plan to meet the growing needs of your business.

That means the business strategy will not only define how your business will make profits, but also where and how much you will invest.

According to expert entrepreneurs, it is always beneficial to review your business strategic plans. It helps you match the set goals with the profit your business has produced.

4.      Be Passionate About Meeting the Goals

This might seem a no-brainer or something trivial, but it can make a huge difference when it comes to accomplishing your business goals. When you are passionate about your work, your colleagues and employees can feel this energy as well.

In other words, showing enthusiasm and excitement cannot be underestimated as it plays a critical role to make your team more hardworking, and focused toward their work productivity. The passion and enthusiasm translate to a better outcome.

Unhappy workers, on the other hand, pass through negative energy and make work more challenging.

5.     Implement Strategies

You cannot achieve business goals unless you implement the changes. Once you have made the strategic plan and estimated finances, it is the time to implement strategies. The implementation process includes several tasks and actions.

It is always a good idea to device an action plan, divides the workload, and tasks accordingly.  Following are some of the important points to help you implement the changes for business improvement.

  • Time Frame: Determine how long a specific task will take to complete. Set tentative dates for the task.
  • Actions: Divide the tasks among those employees that you think are the most appropriate to accomplish them. State actions to be taken precisely.
  • Responsibilities: Assign responsibilities; make sure your teams get the work done in time
  • Resources: Compile a list of supplies, budget, and other finances
  • Outcomes: State your desired outcomes and how the results will be evaluated

6.     Evaluate Success

You need to establish some measures to evaluate whether you have achieved your business goal or not.   These assessment measures depend on the type of tasks you are working on. If your business goals are significant, the measurement process will be more complex, such as measuring profits by a set percentage.

Along with these measures, you can set percentages for each task. It will help you evaluate the success statistically.  Plus, you need to consider how frequently you wish to measure your business achievements. It is very helpful when it is about setting new goals.

Final Thoughts

Your business does not only need your time, but also smart strategies and an effective action plan to improve revenues and profits. The above-mentioned tips are necessary means all entrepreneurs must adopt to sustain a prosperous business.

Who we are:  Funded.com is a platform that is A+ BBB rated over 10+ years. Access our network of Investors, get instantly matched with a Lender, or get a business plan by visiting us Funded.com

You can review our featured partners to help your success with your business or project.

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4 Ways to Impress an Angel Investor with Your Business Startup?

angel

Gaining the attention of an angel investor takes plenty of wit and charisma but getting them to sign the dotted line to fund your business takes a little more effort and preparedness. Knowing what will garner their focus and impress them to the fullest can make securing the funding you need to start your business easier and, of course, less stressful. Start with the following to get the nod of that angel investor you are looking to partner with.

Impressive Revenue Stats

Knowing the numbers is imperative to swaying an angel investor your way. You need to come to the table prepared to win them over not only with your knowledge but also with your impressive financials. You should have a revenue stream ready to go and know your overhead costs as well as your product costs and markup.

Industry Knowledge and Experience

Being a newbie to a market can be a challenge in itself, but if you have a strong background that shows you know what you are doing in this arena, you may have a leg up. Angel investors will take notice of your potential and see that your expertise is valuable to the market you are looking to serve and be more willing to fund your business startup as a result.

Sound Business Plan

It goes without saying that you should have a business plan for your startup ready to go. Angel investors want to know how you plan to operate once you open your doors and a business plan can help provide the details to many of their questions. Give your business plan some time and effort as it can be the defining factor for an angel investor saying ‘yes’ to funding your business start-up.

Niche Products and Services

If your product serves a niche in the market that is not currently being serviced, the interest of your angel investor will certainly be peaked by what you have to offer. Finding where your business fits into the marketplace can help separate you from the pack and make your product stand out from other “me too” offerings. Angel investors want in on these opportunities, and you are sure to impress them with you savvy and entrepreneurial spirit.

Finding the right angel investor doesn’t have to be a challenge as Funded.com provides a bevy of resources and helpful advice right at your fingertips. Visit Funded.com to access our network of angel investors or for assistance with the development of your business plan.

Who we are: Funded.com is a platform that is A+ BBB rated over 10+ years. Access our network of Investors, get instantly matched with a Lender, or get a business plan by visiting us Funded.com

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Making a Good First Pitch Impression

Good Pitch

It can be difficult path sometimes once you decide to set up a good pitch on a site platform. Whether it be crowdfunding or raising capital from accredited investors. You will find many of the same attributes that are similar to finding the right pitch to attract views to your posting or profile.

Posting

Your posting “tile” is the image that show the image  and the description in a rectangular box that is aligned with many other posting tiles. The top image can be from 1”-3” squared and the title is usually under or above the image. The describer or the short content that is directly below the image and title and is describer content box. Also on the posting tile will show what you are trying to raise, your industry, you location or other items of that might be specialized be each platform. Once the posting tile is clicked by user it will take you inside page(s) depending on the platform. It is important you use quality images and very catchy title with a description that is very to-the-point. Your capital raise price must make sense to how you have arrived at your capital asking level.

Your Inside Page

This is where your main image and other images of what you need to include. This has to also be very good images that shows your story, product or methodology. It can be actual photos of a process, or if the business is a fresh startup with no images, you can find advertised free images and art online, or purchase images from paid third-party websites to avoid any copyright infringements. Your content must be very clear and if lots of content to title each section and outline. Your inside page may have a section for a team bio. If it’s just you, it’s okay as lots of startups can be a one-man-show to start. If it allows you to post a photo of you, do so.

Support Documents

If you have a business plan, and the platform lets you include, do so. If you do not have a plan, then upload a cover letter about you and your company. It is always good if you are competing against other pitches and your pitch tile gets opened then next step is to show you have an attachment and have taken the time to put something together that the funder can take away or download.

Summary

It is always good when putting your best foot forward to have everything prepared to make the first impression by getting more traffic and interest to your posting and pitch. Making a good first pitch impression is really key and to rush to get initial interest would not be swapped out if it meant you lack on your Posting, Inside Page and Support Document material. Get a second opinion on how it looks and don’t be afraid to make changes earlier than later.

Who we are: Funded.com is a platform that is A+ BBB rated over 10+ years. Access our network of Investors, get instantly matched with a Lender, or get a business plan by visiting us Funded.com

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Business and Start-Up Funding

Business

How to Get Angel Investors Interested: The idea is to have a sound business model that can be demonstrated by a business plan to have merit with goals of actions on how the model will get to point A to B with the funds provided by the angel investor or venture capital.

1: Have a concept, service, or style of doing business that is new or disruptive to the industry. This can be a service product or even an existing one, creating a unique advantage over the competition. If it is something more standard like investing in a flipping house, you can find how you may be unique to other house flippers. If you want an investor for a franchise, you can give work experience or know how to set you on top with location and research invested into the franchise, so it shows it can be a success from the start.

2: Invest in a Business Plan and Pitch Deck. Investors and banks like to see you have some plan to get from point A to B and an exit strategy for the investors’ money. Business Plans can organize your startup or exist by including major elements like Mission Statements, Distribution Channels, Corporate Structure, Marketing Research, and Financial Proformas. Pitch Decks are the visual aid that can paint a picture and a concept flow in a digital format.

3: Don’t price yourself out of the deal, but don’t give in too much. Any Angel Investors know it has to be a win-win. So, spend time wisely getting some model company financial comparisons and values on how the new capital will create a new deal on the business once everything is in place and moving.

4: Chose your platform for getting your pitch out there: You can go with crowdfunding, which can be very effective in some ways. You can raise many investors but also risk not meeting your capital requirements. You can choose a platform with only accredited investors and reach out with a posting and support. This can effectively see profiles available of investors in the industry and reach out directly or through the platform, depending on the forum. This can effectively raise capital from only one source and help provide valuable synergy and even external promotion of your new business.

Planning and patience are essential when pitching an Investor or Venture Capital. Even down markets and economies can be the best time to launch. You may get more interest and less competition as investors are looking to make equity stakes in the following future successes!

Who we are:  Funded.com is a platform that is A+ BBB rated over 10+ years. Access our network of Investors, get instantly matched with a Lender, or get a business plan by visiting us Funded.com

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A Guide to Implement Digital Transformation for your Small Business

transformation

In this rapidly changing world, everything is shifting towards digitization, and businesses are also transforming their operations through technology to provide more reliable, timely, and convenient solutions to their customers. Digital transformation of small businesses will help provide better customer services, product development, and innovation in different aspects of the company.

Small businesses in their early phase can leverage this opportunity by implementing digital transformation as this will not require much effort compared to any established business. Transformation into the digital industry is not just about implementing the IT systems and installing applications; instead, it’s a cultural shift that completely changes things.

A recent example is the catastrophic disaster “COVID-19” that has changed all the ways of doing things and created the urgency to develop businesses that would operate digitally. Companies that will not adopt cutting-edge technology and transformation will risk losing their market share and will be left behind.

Before coming to the actual ways of transformation, let me first highlight the numerous benefits that small businesses can enjoy after digitization.

  • The transformation will help the organization in better decision-making by making available accurate and reliable data of every segment with the help of analytic tools. These tools also assist in collecting customers’ data that can help marketers make well-informed decisions. These valuable tools are also beneficial for both managerial and strategic level positions.
  • Large Organizations always put tremendous efforts into fulfilling customers’ expectations. Therefore, adopting or integrating technology into your business process will add immense value to the product that will fulfill customers’ needs and help small businesses to grab the market share before their competitors.
  • Companies that undergo the process of digitization improve profitability and reduce costs by cutting off their irrelevant expenditures. According to SAP, 80% of the businesses implementing digital transformation report increased profits. These profits can also be used for the future expansion of trade and more advancements in technology to have an edge on competitors.
  • Valuable tools and devices have reduced the hassle of maintaining employees’ attendance, salaries details, and stock management and increased the coordination between various units. Providing employees with the right tools can streamline workflow and improve productivity. Automating tasks using AI tools will integrate data throughout the business and promote a digital culture that increases collaboration and encourages transparency in the workplace.

Interestingly, most small business owners are making efforts to make digital transformation a vital component of their organizations. They need an excellent strategy to digitize their most critical business operations and start making huge profits.

Whether you are running a small business setup or just getting started and want to transform your business digitally, a well-established strategy and a well-designed plan can help you get the most out of your efforts and investment.

Here are the six steps to successfully implement digital transformation for your small business

Involve every level of the organization in the change process

To make digitization successful, it is vital to have a strong vision and the right culture in the organization that embraces digital initiatives and encourages employees in this transformation process.

It is also essential to consider your staff concerns since many employees feel threatened by the implementation of technology and automation. Many business owners have faced the challenging task of tackling employees resisting digital transformation change.

To get out of this resistance from employees towards change, demonstrate the benefits of the technology and provide necessary training to your team. Empower them to use technology to achieve their life goals.

Empower employees with the Data-Driven Decisions

Data recreates a vital role in the decision-making process. Hence, it must be accurate. Educate your team regarding how to extract data using different analytics tools and make decisions out of it.

Accurate insights regarding customers will help you understand exactly what the customer wants. Then, your product development team can design the relevant products and services to fulfill the customer’s expectations.

Ensure smooth integration of Business Systems

All business systems should communicate smoothly to streamline operations, automate workflows, and increase efficiency.

The actual point comes when you Integrate all business applications (e.g., Finance, Procurement, customer services, and operations). Then, it allows you to enhance collaborations between various departments and make a customer-centric organization.

Cloud computing makes it very smooth for small businesses to connect various applications simultaneously. It allows you to streamline workflow and manage different business functions simultaneously.

Approach and collaborate with IT Consultants

Mainly at the initial stage, businesses don’t have a large budget to hire a large IT team. Instead, you can outsource most IT tasks to maximize your resources. The first target would be to focus on areas that are the backbone of business and gradually increase investing more when your business starts to grow.

Try to work with consultants that provide in-budget solutions compatible with your company’s existing infrastructure. They should also help you identify areas that generate a high Return on Investment.

Customer Care must be the top priority

We always heard that the customer is always right. Take their views about your product and service because there is always room for improvement. Customer feedback is an essential element that encourages you to improve your product and add more features that help you to stand out.

Make a Website for your customers’ convenience, where they can view different products offered by you, make purchases and give feedback that ultimately persuades other customers to make a purchase.

The biggest challenge for business owners is to make sure the data management and security protocols remain in sync. Data protection requires IT solutions and strategic business initiatives due to the strict regulatory requirements and may face harmful consequences in a data breach.

In the end, evaluate and highlight areas where technology can help you make an impact. As a business leader, keep in mind your primary goal and create a culture for continuous learning, collaboration, advancement towards digitization, and innovation in every area that requires transformation. All of the above factors can make your goal of digital transformation achievable.

Funded.com is the leading platform for accredited investors network worldwide. We monitor and provide updates on important funding events. Angel Investors and Venture Funding can be a key growth for a startup or existing business. Whether it is a first, second or third round financing having a strategic alliance with an Angel Investor or Venture Capital financing can propel a business to the next level and give the competitive edge.

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Sales Estimates in Business Plans – Getting Them Right to Avoid Failure

Plans

Chances are this is not your first business plans if you are considering starting a new business. Studies have shown that today’s successful entrepreneurs have tried 3 or 4 times before to start a business sales. Sharing that information is not meant to be discouraging though. It’s meant to be motivating because true entrepreneurs don’t give up easily.

In fact, you may like to know that Bill Gates and Paul Allen started Microsoft in 1981 after 3 prior failed business attempts. The 3 failed attempts were The Lakeside Programmers Group in 168, Traf-O-Data in 1970 and Micro-Soft partnership in 1975. In reality, the 3 failed companies were not failures at all in one very important sense. These 3 companies taught Gates and Allen a lot about business planning and development. They used that information to start Microsoft, Inc. and the rest is history as they say.

One of the strategies for managing a new business venture is the business plan. Because it forces the entrepreneur to identify sales specifics so that investors are comfortable providing equity, loans or other capital. The entrepreneur should also consider a graceful exit should the business not succeed as planned. Though you would not present a business destined to fail to investors, the people you are asking for money also want to know how their investment will be protected as much as possible.

When developing sales projections for the business plans, it’s important to go through each step with due diligence. It begins with a product or service description, followed by a market study. A sales estimate is calculated which drives needed production capacity. The needed production capacity then drives facilities planning and workforce estimates. Finally, the financial analysis is calculated.

One of the issues to be addressed in the business plan is the timing of sales growth. This is where entrepreneurs often get too optimistic. The end result is disappointed investors and a failed first, second or third venture. Sales projections need to be as realistic as possible because inflated numbers don’t do anyone any good. The business plan needs to tell an honest story and that will greatly increase your chances of getting the new business right the first time.

 

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