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Funding a business
How to Create a plan for raising investors
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[QUOTE="Jasz, post: 252761, member: 61772"] The first step of creating a plan is to understand your company, its market and its growth potential. This will help you determine the amount of capital you need and how much you can raise. The following are some tips on how to create a plan for raising investors: 1. Start with your existing resources. Whether it's time, money or other resources, you should use what you have before moving onto external sources. This is because it's easier to get people to invest in something they already know about (and like) than it is to get them excited about something new. 2. Determine how much money you need and how much you can raise from internal sources such as sales revenue and profits from existing customers or operations. These are the most common sources for early-stage funding but keep in mind there may be limitations on these sources depending on your business model and stage of growth. For example, if your business has recently been profitable but doesn't have any products yet or hasn't reached its full potential, then this money could be difficult to access unless there are other factors at play (e.g., founders have strong track record in similar industries). 3. Look at other options such as bootstrapping [/QUOTE]
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